I work in the lower middle market space (commercial and industrials) where companies typically trade for 6-7x LTM. These deals are typically financed with 3-4 turns of senior debt, a turn of mezz, and the rest funded via equity.
How are LBOs of tech or public companies that trade over 30x LTM EBITDA (e.g. Craft Brewers Alliance, $BREW) financed? Are unregulated credit funds like Golub anchoring these deals with a 15x unitranche solution? Even then the Sponsor has to cut a fat equity check.