medium · Private Equity & LBOs
A firm has $60M EBITDA and is bought at a 10.0x multiple with 6.5x leverage.
If EBITDA and multiple are constant, and paydown is $150M, but $30M of the paydown was actually from selling a non-core asset that didn't contribute to EBITDA, what is the MOIC?
- 1.86x
- 1.57x
- 2.00x
- 1.71x
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