Another Sample Leverage Buyout Model Template. In addition, will provide an empty version which allows you to input your own information.
http://flevy.com/browse/business-document/Sample-LBO-Model-Template---2-27
Horngren’s Cost Accounting A Managerial Emphasis, Canadian 9th edition soluti...
Sample LBO Model Template – 2
1. LBO of Company A
($ in millions)
TRANSACTION ASSUMPTIONS
Closing Date 31-Dec-05
2005 EBITDA $66.0
EBITDA Multiple 6.0x
Purchase Price $396.0
TOTAL USES TOTAL SOUR
Uses Capitalization
Equity Purchase Price $396.0 Revolver
Financing Fees $10.0 Term Loan
Investment Banking Fees $4.0 Second Lien
Legal Fees $1.0 Unsecured Notes with Warrants
Other Fees and Expenses $1.0 Total Debt
Total Fees $16.0 Equity
Total Uses $412.0 Total Sources
SALE OF COMPANY A IN 2010
Closing Date 31-Dec-10 IRR to Financial Sponsor 12/31/05
Initial Equity Investment ($108.0)
2010 EBITDA $84.2 Dividends $0.0
EBITDA Multiple 6.0x Proceeds at Sale $0.0
Purchase Price $505.4 Total Cash Flows to Sponsor ($108.0)
Less: Total Debt ($214.9) IRR Calculation 22.6%
Plus: Cash Balance $48.8
Less: Transaction Fees (1)
($7.1) IRR to Unsecured Lender 12/31/05
Equity Value $332.3 Initial Loan ($66.0)
% Equity to Sponsor 90.0% Cash Interest Received $0.0
Equity to Sponsor $299.0 Principal Repayment at Sale $0.0
Equity from Warrants at Sale $0.0
% Equity to Unsecured Lender 10.0% Total Cash Flows to Lender ($66.0)
Equity to Unsecured Lender $33.2 IRR Calculation 16.6%
(1) Assumes 1% of Purchase Price for Investment Banking Fees, plus $2 million in legal and other expenses.
Summary of Relevent Financial Statistics
Income Statement Statistics 2006
Revenue $126.0
EBITDA $69.3
2. Net Income $24.2
Net Interest Expense $21.0
Cash Interest Expense $14.1
Taxes $16.1
Revenue Growth na
EBITDA Margin 55%
EBITDA Growth na
Net Income Growth na
Net Income Margin 17%
Balance Sheet / Cash Flow Statistics
Cash $0.0
Total Debt $280.2
Net Debt $280.2
Secured Debt $207.2
Capex $8.8
Increase (Decrease) in W/C ($0.6)
Leverage Ratios
Total Debt / EBITDA 4.0x
Net Debt / EBITDA 4.0x
Secured Debt / EBITDA 3.0x
EBITDA / Net Interest Expense 3.3x
EBITDA / Cash Interest Expense 4.9x
Interest Coverage Statistics
EBITDA / Net Interest Expense 3.3x
EBITDA / Cash Interest 4.9x
EBITDA - Capex / Net Interest Expense 2.9x
EBITDA - Capex / Cash Interest Expense 4.3x
EBITDA - Capex - ∆ W/C / Net Interest Expense 2.9x
EBITDA - Capex - ∆ W/C / Cash Interest Expense 4.3x
EBITDA - Capex - ∆ W/C - Taxes/ Net Interest Expense 2.1x
EBITDA - Capex - ∆ W/C - Taxes/ Cash Interest Expense 3.2x