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Provide answer in excel formart A private equity investor is looking at a potential acquistion, and has produced the following forecasts for the target a.
Provide answer in excel formart
A private equity investor is looking at a potential acquistion, and has produced the following forecasts for the target a. What are the unlevered free cash flows (FCF) for each of years 1 to 5 ? b. The PE expects to exit this investment at the end of year 5 at forecasted terminal (exit) value of 8 times Year 5 EBITDA. What is the value of the levered firm (at end of Year 0 )? c. The PE has agreed to purchase the firm at a total enterprise value of $2,200. What is the forecasted IRR to the PE's equity investmentStep by Step Solution
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