LBO & M&A
Build and audit a five-year buyout and strategic acquisition across seven lessons, twenty-five staged exercises and 629 graded formula cells. Underwrite earnings, fund the deal, model operating cash and multiple debt tranches, stress liquidity, explain investor returns and test acquisition dilution.
Course Content
LBO Foundations
Paper LBO
Learn earnings quality, acquisition funding and the bridge from exit value to investor returns.
Paper LBO: Forecast and SensitivityFull access
Build capped five-year repayments and retained cash, then test entry and exit price discipline.
Sources and UsesFull access
Reconcile closing cash, OID, refinancing and rollover, then prove the opening purchase balance sheet.
Debt and Cash Flow
Cash Flow and Debt PaydownFull access
Build operating, working-capital and PP&E forecasts, a term/revolver/PIK waterfall, and lender stress diagnostics.
Investor Returns
The Returns BridgeFull access
Reconcile common-equity value creation, exit fees and ownership, then build sensitivities and a conditional bid ceiling.
IRR and Money MultipleFull access
Audit sponsor and rollover timelines and evaluate a dividend recap including fees, cash interest and exit debt.
M&A Fundamentals
Accretion and DilutionFull access
Build a five-year mixed-financing acquisition model with PPA, reported and recurring EPS, synergy hurdles and price sensitivities.
Guides for this course
Review a concept before your next exercise.
Keep practising
Check your skills with the free financial modeling test, or explore a related course.
Course Info
What you'll learn:
- • LBO Foundations
- • Debt and Cash Flow
- • Investor Returns
- • M&A Fundamentals