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Long-Form LBO Modeling - Live
Course

Long-Form LBO Modeling - Live

Build a long-form 3 statement LBO model, including layering in a multi-tranche debt schedule and 2 levels of equity

Overview

Master the mechanics of deal modeling with this hands-on course where participants build a fully integrated three-statement LBO model from the ground up. Learn how to layer in a complex capital structure, explore the rationale behind dual equity ownership levels, and calculate detailed returns for both equity and mezzanine holders. Topics include:

  • Differences between the short-form and long-form LBO
  • Sources of capital and associated costs / attributes
    • Term loans A, B and C
    • Second lien
    • Mezzanine and high yield
    • Preferred equity
    • Common equity
  • PIK interest
  • PIK dividends
  • Warrants
  • Rollover of existing management equity
  • Understanding the need for two types of equity in the capital structure
  • Constructing the opening, pro forma balance sheet
  • Constructing the projected income statement, balance sheet and cash flow statement
  • Cash sweep with mandatory and accelerated payments
  • Calculating returns to equity and mezzanine holders