medium · Private Equity paper-lbo
An LBO model shows an entry EV of $640 million and entry debt of $320 million. At exit in Year 5, EV is $918.9 million and net debt is $220 million.
If the sponsor achieved a 2.18× MoIC, what is the approximate IRR?
- 21.8%
- 23.6%
- 11.3%
- 16.9%
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