BetaValuation

LBO Returns Calculator

Model a leveraged buyout from entry to exit. Input deal structure and financing to get IRR and MoM across exit scenarios.

Entry

Entry EV(EUR m)EBITDA Year 0(EUR m)

Entry EV/EBITDA: 7.1×

Capital structure

Enter debt as

Total debt(EUR m)Interest rate (% p.a.)

Returns parameters

Hold period (years)

Exit EV/EBITDA (×)

Returns summary

IRR

13.3%

MoM

1.87×

Entry EV

7.1× EBITDA

100.0

(–) Total debt(70.0)

Entry equity30.0

— 5-year hold —

Exit EV

14.0 × 9.0×

126.0

(–) Debt repayment(70.0)

Sponsor equity proceeds56.0

Sensitivity — entry × vs exit × → IRR

Entry × ↓ Exit × →	7.0×	8.0×	9.0×	10.0×	11.0×
5.1×	69.5%	83.8%	94.7%	103.6%	111.2%
6.1×	11.8%	21.3%	28.5%	34.3%	39.3%
7.1×	-1.4%	7.0%	13.3%	18.5%	22.9%
8.1×	-8.6%	-0.9%	4.9%	9.7%	13.8%
9.1×	-13.6%	-6.3%	-0.7%	3.8%	7.7%

Hold period: 5y. Debt held constant at entry level.