hard · Private Credit underwriting-credit-analysis
An LBO case assumes entry at $640 million EV with $270 million in sponsor equity. Over 5 years, exit EBITDA is projected to be $107.9 million at an 8.0× exit multiple.
If exit net debt is $247.3 million, what is the resulting IRR for the sponsor?
- 17.9%
- 13.5%
- 25.6%
- 21.8%
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