Question
Calculate equity IRR for an LBO with the following assumptions. Entry EBITDA 300.0 Acquisition EBITDA multiple 11.0 x Debt financing, entry 1,600.0 Investment time horizon,
Calculate equity IRR for an LBO with the following assumptions.
Entry EBITDA | 300.0 |
Acquisition EBITDA multiple | 11.0 x |
Debt financing, entry | 1,600.0 |
Investment time horizon, years | 4.0 |
Exit EBITDA | 440.0 |
EBITDA multiple, exit | 10.0 x |
Total amount of debt repaid | 255.0 |
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