Methods and settings
| Method / input | Behavior |
|---|---|
| LBO / Sponsor Returns | Entry funding, debt paydown, exit proceeds, MOIC and IRR. |
What is currently available
Deals currently contains LBO / Sponsor Returns. Activate it through Manage tools. It reads operating results from the selected Model scenario and adds acquisition, debt and exit assumptions. The current product does not provide an M&A/accretion-dilution operator, merger accounting, consolidated statements or purchase-price allocation. Precedent Transactions is a valuation method under Value, not a substitute for those functions.
Follow the acquisition-to-exit sequence
First reconcile entry Sources & Uses, then configure debt tranches. Inspect the annual cash and tax schedule before relying on sponsor returns. The summary shows Sponsor Equity, MOIC and IRR. A funding shortfall is not silently filled: returns remain unavailable until the assumptions fund the modeled obligations.
Keep three different questions separate
Value estimates operating and equity value. LBO evaluates sponsor proceeds under an assumed purchase and funding structure. Ownership tracks holders, securities and share transactions. LBO participation percentages do not create Cap Table holdings, and its debt schedule does not write the Credit Financing schedule. These tools can inform the same decision without being one transaction-posting system.
Analyze assumptions and returns
The generic layers support eligible LBO targets and assumptions, including Reverse / Goal Seek. See Value and Deals analysis for the source and Apply boundaries. The public LBO guide develops the sponsor-return question; this reference documents the current operator rather than a comprehensive legal or acquisition model.
Share a sponsor-return model
Publish supports the active LBO operator with its operating Model dependencies and selected scenarios. Review and remove confidential deal terms before publishing. The public page shows structured sources/uses, debt and return outputs; readers can Fork editable inputs. LBO's acquisition and exit bridge remains separate from hypothetical listed-company convertible treatment.
Documents the current implemented behavior. Numerical examples are synthetic, not market assumptions.