Showing results:
Displaying 1 - 7 of 7
LBO Value Creation Decomposition - Net Debt or Total Debt Difference
PE folks out there - in decomposing the value creation for debt paydown in an LBO, do you take the difference of net debt or total debt? Does it make a difference?
Calculating cost of debt in LBO
Preparing an LBO for a PE firm and wanted to double check my cost of debt rationale. Targeting a 60/40 debt/equity mix Target Co to be acquired with 2 Term Loan B's Term Loan B #1 cost of debt = Libor + (target co interest expense/target co debt) Amortised evenly over life of loan Term Loan B #2...
Warrants rollover
Hi guys, In the source of funds of a transaction I spotted "rollover warrants". A few questions came to mind: 1. Does that capture staff options/esop or do these warrants come purely from management? 2. Is this a cashless exercise or do warrants holders actually transfer cash to the company which is...
LBO Modeling question (Revolver, circularity, etc)
Hi for 1-4hour long LBO Modeling I have following questions. 1) Do you I necessarily have to calculate interest expense by averaging beginning and ending debt balance? Or is it okay to calculate it with beginning balance only for the purpose of testing? 2) For calculating Revolver, do I always have...
Sources & Uses - Cash Free / Debt Free LBO (picture included)
Hi all - Been trying to fully understand the sources & uses of CF/DF LBOs vs. Non-CF/DF LBOs. The picture is an example. Am I approaching this the right way? Thanks.
LBO Valuation IRR
Could someone please, please explain how PE houses target an IRR to value a company. Really don't yet know the basic steps for an LBO valuation . Would be grateful if someone could please explain. Many thanks.
LBO Valuation
Hi guys, If you don't mind, could you please help me out with the steps of an LBO valuation. Been searching online, but different sources talk more about LBO Analysis than LBO Valuation. Could someone please walk through the main steps for an LBO valuation. The intuition behind why an LBO valuation...
or Want to Sign up with your social account?