medium · Private Equity & LBOs
In a 7-year LBO model, a TLA of $250.0M has a 4-year straight-line amortization schedule (25% per year), while the TLB of $250.0M is a bullet maturity.
If Year 1 EBITDA is $100.0M, Interest $30.0M, Taxes $20.0M, and Capex $15.0M, what is the cash flow remaining for the 'Cash Sweep' after satisfying the TLA mandatory amortization?
- 35.0M
- 27.5M
- 62.5M
- 0.0M
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