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The General Distribution Company (GDC) is a privately held company in the whole-sale food distribution sector. You collected data on a sample of five listed

The General Distribution Company (GDC) is a privately held company in the whole-sale food distribution sector. You collected data on a sample of five listed companies in the same sector which are similar to GDC. Get five estimates of GDCs equity value based on the following data:

Characteristics

GDC

Avg of 5 comparable companies

Sales

4,079 mm

6,615 mm

EBITDA

390 mm

580 mm

Cash flow to Equity Holders

102 mm

180 mm

Net Profits

168 mm

280 mm

Book Value of Equity

1,288 mm

2,100 mm

Market Capitalization

Unknown

2,646 mm

Enterprise Value

Unknown

3,584 mm

Net Debt (Debt less Cash)

856 mm

N/A

EBITDA = Earnings Before Interest, Taxes, Depreciation, and Amortization.

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