Description

Understand how to model out a leveraged buyout transaction.

Learning Objectives

  1. Identify the characteristics of a leveraged buyout (LBO).
  2. Calculate the Internal Rate of Return for equity investors in an LBO.
  3. Calculate the debt or equity required to achieve a target IRR multiple for an LBO.
  4. Identify the steps to build an LBO model.
  5. Identify the factors that contribute to a high IRR in an LBO deal .