medium · Private Equity & LBOs
A sponsor acquires a bolt-on at 7.0x EBITDA of $20M. The exit multiple for the platform is 11.0x.
How much 'excess' equity value is created solely by the two turns of multiple re-rating for each dollar of EBITDA acquired?
- $140M
- $80M
- $40M
- $220M
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