Does this look right? Will give SB's for helpful answers.
Sources:
Buyer Equity: $20.0 million
Rollover Equity: $5.0
Incentive Fee (paid by buyer): $2.0
Target Note (paid by target company to previous owners upon hitting benchmarks): $1.0
Total: $28.0 million
Uses of Funds:
Proceeds to Target: 19.1 million
Rollover Equity: $5.0
Incentive Fee: $2.0
Target Note: $1.0
Fees: $0.9
Total: $28.0 million
Buyer Investment: 20.0+2.0-0.9=$21.1 million
EV: 20.0+5.0+2.0+1.0-0.9= $27.1 million
Equity: 27.1-1.0= $26.1 million
Buyer Equity %: 21.1/26.1=80.8%
Rollover Equity %: 5.0/26.1=19.2%
