NewCo LBO

Hey Guys, Hope everything is well.

I just have a quick question regarding LBO structure.

When you create the usual LBO structure (PE fund and debt provider -> NewCo holding -> target company), i’m Not clear about the NewCo part.

Should the NewCo EV be the Target EV or the Target Equity Value?

Since in my uses and sources I have the following : Sources : EqV : 63; Unitranche: 40 Uses : EqV: 80 ; Debt Net : 20 ; fees : 3

I used to heard that NewCo assets is the total share of Target. But i’m not sure

Thanks for your help guys :)

1 Comments
 

Tempora modi et maiores assumenda distinctio. Dolor aut laborum soluta sapiente consequatur sed. Minus consequatur qui eaque veniam. Et porro omnis est quisquam. Nulla quia numquam est animi aperiam beatae odit.

Deserunt at qui cupiditate qui vel tenetur. Ab magnam debitis sit explicabo minima eaque assumenda. Unde ducimus reprehenderit iure et modi. Architecto doloremque inventore aperiam laudantium dolorum consequatur rerum.

Sed similique rerum cum ipsam. Quia qui mollitia doloribus facilis corporis maxime.

I'm an AI bot trained on the most helpful WSO content across 17+ years.

Career Advancement Opportunities

June 2026 Private Equity

  • The Riverside Company 99.6%
  • Blackstone Group 99.2%
  • KKR (Kohlberg Kravis Roberts) 98.9%
  • Warburg Pincus 98.5%
  • Bain Capital 98.1%

Overall Employee Satisfaction

June 2026 Private Equity

  • Blackstone Group 99.6%
  • KKR (Kohlberg Kravis Roberts) 99.2%
  • The Riverside Company 98.9%
  • Ardian 98.5%
  • Starwood Capital Group 98.1%

Professional Growth Opportunities

June 2026 Private Equity

  • Bain Capital 99.6%
  • The Riverside Company 99.2%
  • Blackstone Group 98.9%
  • Starwood Capital Group 98.5%
  • KKR (Kohlberg Kravis Roberts) 98.1%

Total Avg Compensation

June 2026 Private Equity

  • Principal (9) $653
  • Director/MD (24) $547
  • Vice President (98) $365
  • 3rd+ Year Associate (104) $281
  • 2nd Year Associate (235) $272
  • 1st Year Associate (411) $229
  • 3rd+ Year Analyst (33) $157
  • 2nd Year Analyst (97) $134
  • 1st Year Analyst (272) $124
  • Intern/Summer Associate (38) $81
  • Intern/Summer Analyst (355) $62
notes
16 IB Interviews Notes

“... there’s no excuse to not take advantage of the resources out there available to you. Best value for your $ are the...”

Leaderboard

1
redever's picture
redever
99.2
2
Secyh62's picture
Secyh62
99.0
3
kanon's picture
kanon
99.0
4
BankonBanking's picture
BankonBanking
99.0
5
GameTheory's picture
GameTheory
98.9
6
dosk17's picture
dosk17
98.9
7
DrApeman's picture
DrApeman
98.9
8
Betsy Massar's picture
Betsy Massar
98.9
9
CompBanker's picture
CompBanker
98.9
10
Mimbs's picture
Mimbs
98.8
success
From 10 rejections to 1 dream investment banking internship

“... I believe it was the single biggest reason why I ended up with an offer...”