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Oxford Financial Modelling LAB
© AndreasT. Angelopoulos, developed by Andreas T. Angelopoulos 2006 (version 1) - 12.11.2013 (last update) for te registered students in te !"ford #i
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REFERENCES & SUGGESTE READINGS:
&everaged 'uyouts. Investment Banking – Valuation, Leveraged Buyouts, and Mergers & Acquisitions. Rosenbaum, and !earl, "#$$% by
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an$e %odlling &ab
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iley /ons, n$.
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Table of Contents
Instructions
1. Finance instruments1a. Debt instrumenstSenior debt
Mezzanine
HY bond
RCF Capex
1b. Equity instruments
Shareholder loan2. Operational & Financial ModelAssumptions
Operational model
Financial Statements
3. aluationComparables
DCF N!
DCF A!"#O Simple
"#O Ad$anced %#S ad&ustment'
Output
!. "n#estment analysis $%raps'
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Financial Modelling LAB
In!r"c!ion
G"ideline for i#$le#en!ing %o"r or'ing #odel:
1. /tart +it te !perational %odel seet and build te proe$tions of ea$ operational sn %ae te ne$essary assuptions for ea$ operational segent of te opany (n Total te nubers of all operational segents and build te *et oring apital
2. %ove on to te #inan$ial /tateents to build te proe$tions for opany7s future n$n 8ou +ill be using te operational odel assuptions $al$ulated in te previous stn /oe figures are provided to eep tings siple
3. 9# Analysis follo+s using te *5: and A5: etodologiesn 'eta analysis is provided in order to $al$ulate te unlevered beta of te opanyn 'uild te *5: odel follo+ing te steps tat elp you derive te value of te on 'uild te A5: odel follo+ing te steps tat elp you derive te value of te on A oparables %odel is also provided
;. Te &'! %odel presented ere is irrelevant and independent fro oter seetsn /tart +it building te /our$es 4ses of funds (Te $apital stru$ture is provided)n !perational assuptions are also providedn 9ebt pri$ing and s$edule ters are provided< you need to build itn 5roe$t te future #inan$ial /tateents of te opany based on te operational
Cell For#a!:
Uer In$"! BLUE
Lin'ed i!( o!(er $read(ee! GREEN
For#"la BLAC)ells +it bla$ border indi$ate tat teir $ontent +as initially ard $oded and +ill need t
'ote( )everal comments *ave been +rovided inside every s*eet to *el+ you. I t*ere is
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egent based on te istori$al data provided
4/, nternational, 5)
roe$tions by fore$asting 'alan$e /eet ites days
oe /tateent, as #lo+ /tateent and 'alan$e /eet
p for soe ey ites
to be used in te *5: etodpany
pany
assuptions provided (tis is siilar to te pro$ess in step 2 above)
o be updated at a later step
omet*ing you don-t understand t*e res+ective "anser s*eet +rovides t*e solutio
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n
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() FINANC* INS+R,M*N+S
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(A) D*#+ FINANC* INS+R,M*
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+S
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Financial Modelling LABFinance In!r"#en! * Senior De+!
S!e$ , - Define !(e de+! !er# and $ricing
De+! S!r"c!"re Ter# ./ear0 A#or!1 x EBITDA
/enior debt=# #a$ility 2 -ap>" #a$ility 2 'ulletTer &oan A 2 'alloon 1.?"Ter &oan ' 3 'ullet 1.;"Ter &oan 4 'ullet 1.;"
/ubordinated 9ebt%e@@anine 5 'ullet 1.2"
5 >leentas >leent8 'ond ,6 'ullet 0.;"
/areolder loan ,7 'ullet 1.2"5 >leent
&'!=as nterest
S!e$ 8 - Define !(e Senior De+! Re$a%#en! Sc(ed"le
Bae Ra!e 86,6A 86,,E
B 3% &'!= for+ard $urve ,16849 3y /A5 =ate ,1,8;7
C /+aped 76166#loating 'ase =ate ,16326
Ter# Loan A'ase =atenterest rate
Average &ife of te fa$ility Aortisation s$edule (C of total fa$ility) 716
!pening 'alan$e
5rin$ipal repayentsas s+eep (3;3.D)nterest e"pense
losing 'alan$e
Ter# Loan B'ase =atenterest rate
Aortisation s$edule (C of total fa$ility)
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!pening 'alan$e5rin$ipal repayentsas s+eep 0.0nterest e"pense
losing 'alan$e
Ter# Loan C'ase =ate
nterest rate
Aortisation s$edule (C of total fa$ility)!pening 'alan$e5rin$ipal repayentsas s+eep 0.0nterest e"pense
losing 'alan$e
Ex$and for !(e aner
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A#o"n! S$read In!ere! ra!e
376 917376 917
9
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0.0 0.0 0.0 (3;F.2) (F;F.0) 0.0
0.0 0.0 0.0 0.0 0.0 (D6D.6)
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86,4E 86,5E 8686E
917942 913257 914624
814;2, 815927 815278
616 616 616
0.0 0.0 0.0
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0.0 0.0 0.0
0.0 0.0 0.0
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Financial Modelling LABFinance In!r"#en! * Me==anine
S!e$ , - Define !(e de+! !er# and $ricing
De+! S!r"c!"re A#or!1 x EBITDA
/enior debt=# #a$ility 2 -ap>" #a$ility 2 'ulletTer &oan A 2 'alloon 1.?"Ter &oan ' 3 'ullet 1.;"Ter &oan 4 'ullet 1.;"
/ubordinated 9ebt%e@@anine 5 'ullet 1.2"
5 >leentas >leent8 'ond ,6 'ullet 0.;"
/areolder loan ,7 'ullet 1.2"5 >leent
&'!=as nterest
S!e$ 8 - Define !(e Me==anine re$a%#en! c(ed"le
Bae Ra!e 86,6A 86,,E
3% &'!= for+ard $urve ,16849B 3y /A5 =ate ,1,8;7C /+aped 76166#loating 'ase =ate ,16326
Me==anine'ase =ate 1.0?C5 >leent 6.00Cas >leent E.F?C
Aortisation s$edule (C of !p. balan$eG5) 0.0C!pening 'alan$e 3,000.0
5rin$ipal repayents 0.05 nterest e"pense (1?0.0)as nterest e"pense (22E.3)
losing 'alan$e 3,1?0.0
Ex$and for !(e aner
Ter#./ear0
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A#o"n! S$read In!ere! ra!e
376 917376 917
9
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8686E
914624
815278
2.DEC6.00CD.;EC
0.0C0.0
0.00.00.0
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Financial Modelling LABFinance In!r"#en! * >ig( /ield Bond
S!e$ , - Define !(e de+! !er# and $ricing
De+! S!r"c!"re A#or!1 x EBITDA
/enior debt=# #a$ility 2 -ap>" #a$ility 2 'ulletTer &oan A 2 'alloon 1.?"Ter &oan ' 3 'ullet 1.;"Ter &oan 4 'ullet 1.;"
/ubordinated 9ebt%e@@anine 5 'ullet 1.2"
5 >leentas >leent8 'ond ,6 'ullet 0.;"
/areolder loan ,7 'ullet 1.2"5 >leent
&'!=as nterest
S!e$ 8 - Define !(e >/ Bond re$a%#en! c(ed"le
86,6A 86,,E
>/ Bondnterest rate
Aortisation s$edule (C of !p. balan$eG5)!pening 'alan$e5rin$ipal repayentsnterest e"pense
losing 'alan$e
Ex$and for !(e aner
Ter#./ear0
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A#o"n! S$read In!ere! ra!e
376 917376 917
9
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8686E
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Financial Modelling LABFinance In!r"#en! * RCF CA?E@
S!e$ , - Define !(e de+! !er# and $ricing
De+! S!r"c!"re A#or!1 x EBITDA
/enior debt=# #a$ility 2 -ap>" #a$ility 2 'ulletTer &oan A 2 'alloon 1.?"Ter &oan ' 3 'ullet 1.;"Ter &oan 4 'ullet 1.;"
/ubordinated 9ebt%e@@anine 5 'ullet 1.2"
5 >leentas >leent8 'ond ,6 'ullet 0.;"
/areolder loan ,7 'ullet 1.2"5 >leent
&'!=as nterest
S!e$ 8 - Define !(e RCF and Ca$Ex facili!ie re$a%#en! c(ed"le
Bae Ra!e 86,,E
3% &'!= for+ard $urve ,16849B 3y /A5 =ate ,1,8;7C /+aped 76166#loating 'ase =ate ,16326
RCF and Ca$Ex Re$a%#en! Sc(ed"le 8665A 86,6A 86,,E
RCF Facili!%'ase =atenterest rateoitent fee
oitent4ndra+n
!pening as 'alan$e on 'alan$e /eetas n$reaseH9e$reaselosing balan$e before =#
9ra+do+nH(=epayent)%iniu $losing $as balan$e ,6616
Ter#./ear0
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!pening 'alan$e9ra+do+nH(=epayent)
losing 'alan$e 616
nterest e"penseoitent fee on 4nused =evolver
Ca$Ex Facili!%
'ase =atenterest rateoitent fee
oitent4ndra+n
=epayent (C of total fa$ility)!pening 'alan$e5rin$ipal repayents9ra+do+n 616
losing 'alan$e 616
nterest e"penseoitent fee on 4nused ape"
Ex$and for !(e aner
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A#o"n! S$read In!ere! ra!e
376 917376 917
9
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616 ,6616 ,7616
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8686E
914624
815278
8686E
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1(. E)*"T+ ",-T*ME,T-
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Financial Modelling LABE"i!% In!r"#en! * S(are(older Loan
S!e$ , - Define !(e de+! !er# and $ricing
De+! S!r"c!"re A#or!1 x EBITDA
/enior debt=# #a$ility 2 -ape" #a$ility 2 'ulletTer &oan A 2 'alloon 1.?"Ter &oan ' 3 'ullet 1.;"Ter &oan 4 'ullet 1.;"
/ubordinated 9ebt%e@@anine 5 'ullet 1.2"
- 5 >leent- as >leent
8 'ond ,6 'ullet 0.;"
/areolder loan ,7 'ullet 1.2"5 >leent
&'!=as nterest
S!e$ 8 - Define !(e S(are(older Loan re$a%#en! c(ed"le
Bae Ra!e 86,6A 86,,E
3% &'!= for+ard $urve ,16849B 3y /A5 =ate ,1,8;7C /+aped 76166#loating 'ase =ate ,16326
S(are(older loan5 >leent
Aortisation s$edule (C of !p. balan$eG5)!pening 'alan$e 0.0
5rin$ipal repayents 0.0
5 nterest e"pense 0.0
losing 'alan$e 0.0 0.0
Ex$and for !(e aner
Ter#./ear0
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A#o"n! S$read In!ere! ra!e
376 917376 917
9
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8686E
914624
815278
0.00.00.0
0.0
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2. O/E0T"O,0 & F",0,C"
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0 -T0TEME,T- $F-' MODE
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Financial Modelling LAB
O$era!ing A"#$!ion
A"#$!ion
n 'reado+n of te opany7s ain n$oe /tateent figures based on its reportable operating segents
n =evenues to gro+ at a 2010-1; A= of $. ;.EC trending to $. 3.;C in later years driven by a 1;.2C A= of te 5 segent as +ell as st
n ross argins e"pe$ted to de$rease fro $. FDC in 2010 to FEC in later years driven by an in$rease of !/ in te 5 segent
n !vereads to de$rease as a C of sales fro $. 36.;C to 3;C
n >'T9A argins to reain broadly flat $. 23C
n ap>" assued to be bet+een ; - F C of revenues
n oring apital assued to de$rease over tie leading to a positive $as ipa$t
'ote /( 0iscal year end or )tarbucks is end o )e+tember 'ote #( 0or modeling +ur+oses e assumed t*at t*e transaction closes in )e+tember #$/$ and t*at #$/$ Revenues and 1BI23A are 14+ected b
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o+t in oter segents
n our ssum+tions
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Financial Modelling LAB
O$era!ional Model
,A US .M0< F/ End Se$*86,6 8663A 8664A 8665A
=etail /ales 2
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nternational (6;D.E) (?11.;) (E3;.3)
5 (66.;) (EE.1) (F1.1)
SG&A .;Juivalents 84,1; 82514 75514
A$$ounts =e$eivable 84315 ;8517 83,16
nventories 25,13 25814 22915
!ter urrent Assets ,9414 ,2518 ,9318
C"rren! Lia+ili!ie
A$$ounts 5ayable ;5614 ;8915 8231,
A$$rued >"penses !ter 37214 34813 58716
9eferred =evenue 85215 ;2419 ;4413
Da%
A$$ounts =e$eivable 11.2 11.6 10.1
nventories 63.1 F;.; F6.1
!ter urrent Assets F.? F.D F.F
A$$ounts 5ayable 3F.E 2F.F 22.F
A$$rued >"penses !ter 2D.; 2E.F 3;.F
9eferred =evenue 11.F 13.0 1;.F
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86,9E 86,7E 86,2E 86,3E 86,4E 86,5E 8686E
86,9E 86,7E 86,2E 86,3E 86,4E 86,5E 8686E
86,9E 86,7E 86,2E 86,3E 86,4E 86,5E 8686E
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(100.0C)
(100.0C)
(100.0C)
(100.0C)
(100.0C)
(100.0C)
(100.0C)
(100.0C)
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Financial Modelling LAB
O$era!ional Model
,A US .M0< F/ End Se$*86,6 8663A 8664A 8665A
=etail /ales 2
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nternational (6;D.E) (?11.;) (E3;.3)
5 (66.;) (EE.1) (F1.1)
SG&A .;Juivalents 84,1; 82514 75514
A$$ounts =e$eivable 84315 ;8517 83,16
nventories 25,13 25814 22915
!ter urrent Assets ,9414 ,2518 ,9318
C"rren! Lia+ili!ie
A$$ounts 5ayable ;5614 ;8915 8231,
A$$rued >"penses !ter 37214 34813 58716
9eferred =evenue 85215 ;2419 ;4413
Da%
A$$ounts =e$eivable 11.2 11.6 10.1
nventories 63.1 F;.; F6.1
!ter urrent Assets F.? F.D F.F
A$$ounts 5ayable 3F.E 2F.F 22.F
A$$rued >"penses !ter 2D.; 2E.F 3;.F
9eferred =evenue 11.F 13.0 1;.F
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86,9E 86,7E 86,2E 86,3E 86,4E 86,5E 8686E
?,1E?.? ?,;2;.1 ?,6E6.? ?,D3E.1 D,20F.3 D,;?1.; D,E6F.D
916 ;16 ;16 ;16 ;16 ;16 ;16
6E?.; 6D?.E E1D.E E;1.3 E63.F E?6.; ?10.0
916 ;16 ;16 ;16 ;16 ;16 ;16
4
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(DEF.F) (1,01;.F) (1,0FF.1) (1,0DE.3) (1,1;1.2) (1,1?6.?) (1,23;.3) 3.FC
(1F6.6) (166.0) (1E;.3) (1?3.0) (1D2.2) (201.?) (211.D) 2?.FC
.9
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Financial Modelling LAB
Financial S!a!e#en! ?roec!ion
S!e$ , * Define O$era!ional a"#$!ion of !(e #odel
.0
/ales ro+t (C)
>'T9A %argin (C /ales)
ap>" (C /ales)
*et oring apital (C /ales)
9A (C /ales)
Ta" (C >'T)
S!e$ 8 - Foreca! !(e inco#e !a!e#en!
M 8665A 86,6A
Reen"e 533912 ,636319
EBITDA ,24,12 899917
9epre$iation Aortisation *9421; *92;16
EBIT 1,1DF.3 1,D?1.F
In!ere! Inco#e
To!al In!ere! Ex$eneNe! In!ere!
EBT
Tax
*et in$oe
S!e$ ; * Calc"la!e !(e ca( flo & ca( +alance
M 86,6A
EBITDA
AdustentsI
- ange in *et oring apital
- Ta"
- ap>"
Ca( flo +efore financing .CFBF0
## (C >'T9A)
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nterest >"pense
nterest n$oe
Ca( flo aaila+le for de+! re$a%#en! .Free ca( flo * FCF0
9ebt =epayents
Exce Ca(
!pening as 'alan$eas n$reaseH(9e$rease)
Cloing Ca( Balance 0.0
as balan$e $e$
S!e$ 9 *Calc"la!e +alance (ee! and calc"la!e !(e f"!"re +alance (ee!
M 86,6A
urrent oring apital
as >Juivalents
*et oring apital
Total oring apital
ross 5roperty, 5lant >Juipent 6,1;1.6
&ess A$$uulated 9epre$iation (3,E2F.1)
*et 5roperty, 5lant >Juipent 2,;16.F
!ter Assets
Total fi"ed assets E11.?
ood+ill 1;,D3?.3
To!al ae!
&ong ter debt
/enior 9ebt E,020.0
%e@@anine 3,000.0
>Juity
oon /to$ ;,020.0
=etained >arnings
Total /to$olders7 >Juity
To!al Lia+ili!ie & E"i!%
'alan$e $e$ !
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86,,E 86,8E 86,;E 86,9E 86,7E 86,2E 86,3E
;15 716 71, 912 ;17 ;19 ;19
881; 8817 8;13 8;13 8;1, 8;1, 8;1,
718 718 716 917 916 ;16 ;16
.31;0 .3140 .41;0 .41;0 .41;0 .41;0 .41;0
91; 918 814 812 812 812 812
;917 ;917 ;917 ;917 ;917 ;917 ;917
86,,E 86,8E 86,;E 86,9E 86,7E 86,2E 86,3E
0.0
.4;4190 .49,190 .432130 .4581;0 .448170 .424130 .438160
.4;4190
0.0 0.0 0.0 0.0 0.0 0.0 0.0
86,,A 86,8A 86,;A 86,9A 86,7A 86,2A 86,3A
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(1?F.0) (3E0.0) (FFF.0) (E;0.0) (FE3.2) (2F0.0) (2,?0D.?)
NO. NO. NO. NO. NO. NO. NO.
86,,A 86,8A 86,;A 86,9A 86,7A 86,2A 86,3A
E11.? E11.? E11.? E11.? E11.? E11.? E11.?
1;,D3?.3 1;,D3?.3 1;,D3?.3 1;,D3?.3 1;,D3?.3 1;,D3?.3 1;,D3?.3
3,1?0.0 3,3E0.? 3,FE3.0 3,E?E.; ;,01;.E ;,2FF.6 ;,F10.D
;,020.0 ;,020.0 ;,020.0 ;,020.0 ;,020.0 ;,020.0 ;,020.0
! ! ! ! ! ! !
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86,4E 86,5E 8686E
;19 ;19 ;19
8;1, 8;1, 8;1,
;16 ;16 ;16
.41;0 .41;0 .41;0
812 812 812
;917 ;917 ;917
CAGR
86,4E 86,5E 8686E ,,E*,7E ,2E*86E
K9:H0L K9:H0L
K9:H0L K9:H0L
K9:H0L K9:H0L
K9:H0L K9:H0L
.25,140 .3;4120 616
K9:H0L K9:H0L
0.0 0.0 0.0
K9:H0L K9:H0L
86,4A 86,5A 8686A
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0.0 (2,06?.;) 0.0
NO. NO. NO.
86,4A 86,5A 8686A
E11.? E11.? E11.?
1;,D3?.3 1;,D3?.3 1;,D3?.3
;,E?1.F 0.0 0.0
;,020.0 ;,020.0 ;,020.0
! ! !
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Financial Modelling LAB
Financial S!a!e#en! ?roec!ion
S!e$ , * Define O$era!ional a"#$!ion of !(e #odel
.0
/ales ro+t (C)
>'T9A %argin (C /ales)
ap>" (C /ales)
*et oring apital (C /ales)
9A (C /ales)
Ta" (C >'T)
S!e$ 8 - Foreca! !(e inco#e !a!e#en!
M 8665A 86,6A
Reen"e 533912 ,636319
EBITDA ,24,12 899917
9epre$iation Aortisation *9421; *92;16
EBIT 1,1DF.3 1,D?1.F
In!ere! Inco#e
To!al In!ere! Ex$ene
Ne! In!ere!
EBT
Tax
*et in$oe
S!e$ ; * Calc"la!e !(e ca( flo & ca( +alance
M 86,6A
EBITDA
AdustentsI
- ange in *et oring apital
- Ta"
- ap>"
Ca( flo +efore financing .CFBF0
## (C >'T9A)
nterest >"pense
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nterest n$oe
Ca( flo aaila+le for de+! re$a%#en! .Free ca( flo * FCF0
9ebt =epayents
Exce Ca(
!pening as 'alan$e
as n$reaseH(9e$rease)Cloing Ca( Balance 0.0
as balan$e $e$
S!e$ 9 *Calc"la!e +alance (ee! and calc"la!e !(e f"!"re +alance (ee!
M 86,6A
urrent oring apital
as >Juivalents 0.0
*et oring apital (EE6.6)
Total oring apital (EE6.6)
ross 5roperty, 5lant >Juipent 6,1;1.6
&ess A$$uulated 9epre$iation (3,E2F.1)
*et 5roperty, 5lant >Juipent 2,;16.F
!ter Assets
Total fi"ed assets E11.?
ood+ill 1;,D3?.3
To!al ae! ,3Juity
oon /to$ ;,020.0
=etained >arnings 0.0
Total /to$olders7 >Juity ;,020.0
To!al Lia+ili!ie & E"i!% ,3
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86,,E 86,8E 86,;E 86,9E 86,7E 86,2E 86,3E
;15 716 71, 912 ;17 ;19 ;19
881; 8817 8;13 8;13 8;1, 8;1, 8;1,
718 718 716 917 916 ;16 ;16
.31;0 .3140 .41;0 .41;0 .41;0 .41;0 .41;0
91; 918 814 812 812 812 812
;917 ;917 ;917 ;917 ;917 ;917 ;917
86,,E 86,8E 86,;E 86,9E 86,7E 86,2E 86,3E
11,12D.0 11,6?D.1 12,2?6.F 12,?;D.1 13,2D?.6 13,EF2.1 1;,221.6
2,;ED.E 2,626.2 2,D12.2 3,0;D.1 3,06E.0 3,1E3.2 3,2?3.2
(;?;.1) (;D;.E) (33D.6) (3;0.2) (3F1.3) (362.6) (3E;.;)
1,DDF.6 2,131.6 2,FE2.6 2,E0?.D 2,E1F.E 2,?10.F 2,D0?.?
2.6 E.F 11.E 1F.1 1D.0 26.6 2;.;
.4;4190 .49,190 .432130 .4581;0 .448170 .424130 .438160
.4;7140 .4;9160 .427160 .433180 .42;120 .4981,0 .493130
1,1FD.? 1,2DE.6 1,E0E.E 1,?31.E 1,?F2.2 1,D6?.; 2,061.2
(;00.1) (;;E.E) (F?D.1) (631.D) (63D.0) (6ED.1) (E11.1)
EFD.6 ?;D.D 1,11?.F 1,1DD.E 1,213.2 1,2?D.3 1,3F0.1
86,,A 86,8A 86,;A 86,9A 86,7A 86,2A 86,3A
2,;ED.E 2,626.2 2,D12.2 3,0;D.1 3,06E.0 3,1E3.2 3,2?3.2
3D.6 D2.F 106.; ;D.? ;;.3 3E.E 3D.0
(;00.1) (;;E.E) (F?D.1) (631.D) (63D.0) (6ED.1) (E11.1)
(F?0.F) (60E.?) (61;.3) (FE?.2) (F31.D) (;12.6) (;26.6)
,
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2.6 E.F 11.E 1F.1 1D.0 26.6 2;.;
36814 4851; 57618 ,
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86,4E 86,5E 8686E
;19 ;19 ;19
8;1, 8;1, 8;1,
;16 ;16 ;16
.41;0 .41;0 .41;0
812 812 812
;917 ;917 ;917
CAGR
86,4E 86,5E 8686E ,,E*,7E ,2E*86E
1;,E0E.? 1F,211.2 1F,E32.F ;.6C 3.;C
3,3DE.2 3,F1F.3 3,63E.E F.FC 3.FC
(3?6.F) (3DD.0) (;12.0) (E.EC) 3.2C
3,010.E 3,116.3 3,22F.? ?.0C 3.FC
2;.6 2D.E 3E.?
.25,140 .3;4120 616
.223180 .364150 ;314
2,3;3.F 2,;0E.; 3,263.F 12.;C 13.FC
(?0?.F) (?30.6) (1,12F.D)
1,F3F.0 1,FE6.? 2,13E.6 12.;C 13.FC
86,4A 86,5A 8686A
3,3DE.2 3,F1F.3 3,63E.E
;0.; ;1.? ;3.3
(?0?.F) (?30.6) (1,12F.D)
(;;1.2) (;F6.3) (;E2.0)
8
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2;.6 2D.E 3E.?
,
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!. 0*0T"O,
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Financial Modelling LAB
Co#$ara+le Model
Co#$ara+le .M0
Co#$an% !o al"ed Ae!
S!ar+"c' Cor$ora!ion 2A9 !
Tier III: S#all*Ca$
9!%*!7/ 5NNA *
>*987/ !HT>
>>/>A> #AT!=8 *HT>
al"a!ion ra!io ?E ra!ioNo!e >Juity valuation
%9!*A&97/ !=5 21.3;"
84%L '=A*9/ * 2;.F2"
5!T&> %>MA* =&& * 0.FD"
MeanMedian ,717x
T% !=T!*/ * 1D.?1"
9A=9>* =>/TA4=A*T/ * 1F.00"
5A*>=A '=>A9 ! 1D.?3"
MeanMedian ,418x
9!%*!7/ 5NNA *16.EE"
>*987/ !HT> 22.D1"
>>/>A> #AT!=8 *HT> 1F.;3"
MeanMedian ,419x
OERALLMeanMedian ,319x
>ig( 8917x
Lo 612x
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S!ar+"c' Cor$ora!ion al"a!ion .M0 Aerage ra!io
5> ratio 1E.36"
5H/ales 1.6D"
5H>'T9A E.D?"
5H'oo :alue 6.3D">:H>'T9A 10.F;"
>:H/ales 2.11"
O /ubtra$ted *et 9ebt on >: ratios
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Balance (ee!
Boo' al"e of De+! E"i!% Boo' al"e LTM Reen"e
79519 ;
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E"i!% al"a!ion .M0
D;F.6 16,;11.3
10,E0E.; 1?,110.6
2,;;;.F 1D,F12.;
3,6E;.E 23,;6E.62,;;;.F 2F,222.;
10,E0E.; 21,DD2.?
S!ar+"c' Cor$ora!ionindica!or
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LTM Financial S!a!i!ic Mar'e! da!a
EBITDA Ne! inco#e No1 of (are .#0 S(are $rice .0
8: valuation >: valuation
10.2F" 3.E;"
10.F3" 2.2F"
1E.2F" 3.;1"
,813x ;1,x
11.0?" 2.?0"
E.D1" 1.0F"
11.33" 1.?6"
,61,x ,15x
D.3D" 1.F0"
?.3;" 1.26"
?.?0" 1.06"
414x ,1;x
,617x 81,x
,318x ;13x
315x ,1,x
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S$ecific al"e Drier .#0 Mar'e! Ca$i!alia!ion
* 88
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Mar'e! al"a!ion
En!er$rie al"e .E"i!% J Ne! de+!0 ?redic!ed Be!a
;
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3(. Discounted Cas Flo $
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DCF'
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Financial Modelling LAB
Be!a Anal%i
Co#$an% Co"n!r% Ne! De+! E"i!% al"e E
opany 1 1,0?? E1; 1,?03 60.;C
opany 2 601 1,662 2,263 26.FC
opany 3 1;E DE 2;; 60.2C
opany ; 1?3 226 ;0D ;;.EC
opany F 312 210 F22 FD.EC
opany 6 11; 21? 332 3;.3Copany E DF 13E 233 ;0.DC
opany ? 6D1 F12 1,203 FE.;C
opany D 13D 12E 266 F2.1C
opany 10 1,12E D;D 2,0E6 F;.3C
>ig( 2619
Lo 8217
Mean 951,
Median 7;18
Gearing.D DJE0
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Leered Be!a
1F2.;C 33.3C 1.6; 0.?1
36.1C 2F.0C 1.00 0.ED
1F1.3C 2F.0C 1.2E 0.FD
?1.0C 2F.0C 1.?; 1.1;
1;?.3C 2F.0C 1.EE 0.?;
F2.3C 2F.0C 0.?F 0.616D.3C 2?.0C 0.?1 0.F;
13;.?C 33.3C 1.D0 1.00
10?.?C 2F.0C 1.33 0.E3
11?.EC 33.3C 1.30 0.E2
,7819 ,156 ,1,9
;21, 614, 6179
,671; ,1;3 6134
,,;13 ,1;, 6132
De+!*!o*E"i!%.DE0
Effec!ie !axra!e
Unleered+e!a
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Financial Modelling LAB
A? Model
S!e$ , * S!"d% !(e !arge!< define 'e% gro!( drier and $roec! !(e Inco#e S!a!e#en!
Inco#e S!a!e#en! .M0 86,6A 86,,E 86,8E
=evenuesC ro+t
!/
ross 5rofit
/A
>'T9A
9epre$iation Aortisation
>'T
Ta"es
>'AT
S!e$ 8 * Calc"la!e !(e dico"n! ra!e< "ed !o dico"n! !(e CF and Ter#inal al"e .T0 !o !(e $re
!nly te unlevered $ost of eJuity (A5%)
Dico"n! Ra!e Calc"la!ion
Cost of Equity
=is-free =ate 716
%aret =is 5reiu 41,
4nlevered 'eta -
Co! of E"i!% .CA?M0
S!e$ ; * ?roec! !(e !arge!K Ca( Flo ignoring !(e ca$i!al !r"c!"re and dico"n! !(e# i!( !(
FCF .M0 86,6A 86,,E 86,8E
>'T9A
9epre$iation Aortisation
>'T
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Ta"es
>'AT
5lusI 9epre$iation Aorti@ation
&essI apital >"penditures
&essI n$rease in *et oring apital
Unleered Free Ca( Flo
9is$ount #a$tor
5resent :alue of as #lo+
C"#"la!ie ? of FCF
S!e$ 9 * De!er#ine !(e Ter#inal al"e .T0< !o "an!if% !(e re#aining al"e of !(e !arge! af!er !(e
oose %etodI 5erpetuity ro+t %etod (5% - ordon %etod)
>"it %ultiple %etod (>%%)
?er$e!"i!% Gro!( Me!(od
Terinal 8ear ## (2020>)
5erpetuity ro+t =ate ;16 Ter#inal al"e
9is$ount #a$tor
? of Ter#inal al"e
S!e$ 7 * Calc"la!e !(e !ax +enefi! aocia!ed i!( !(e ca$i!al !r"c!"re
In!ere! Tax S(ield Calc"la!ion .M0 86,6A 86,,E 86,8E
'eginning 9ebt 1,000.0 ?00.0
=epayent (>nd of 8ear) .866160 .866160
>nding 9ebt ,"pense
nterest Ta" /ield
9is$ount #a$tor
5resent :alue
C"#"la!ie ? of Tax S(ield
Perpetuity Growth Method (PGM - Gordon Method)
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S!e$ 2 * De!er#ine !(e al"a!ion:
a) te 5: of ##, 5: of T: and 5: of Ta" sields b) >nterprise (>:)
86,6A
5: of ##
5: of T:5: of Ta" /ields
En!er$rie al"e
I#$lied E"i!% al"e and S(are ?rice
>nterprise :alue
&essI Total 9ebt .5;81,0
&essI 5referred /e$urities
&essI *on$ontrolling nterest
5lusI as and as >Juivalents ,
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,612 0.00 0.00 0.00
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86,;E 86,9E 86,7E 86,2E 86,3E 86,4E
n! "ing:
Unleering Be!a
&evered 'eta
9ebt-to->Juity ratio (9H>)Ta" =ate
4nlevered 'eta
co! of e"i!%
86,;E 86,9E 86,7E 86,2E 86,3E 86,4E
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$roec!ion $eriod
1
Exi! M"l!i$le Me!(od
Terinal 8ear >'T9A (2020>)
>"it %ultiple 316x Ter#inal al"e
9is$ount #a$tor
? of Ter#inal al"e
86,;E 86,9E 86,7E 86,2E 86,3E 86,4E
600.0 ;00.0 200.0 0.0 0.0 0.0
.866160 .866160 .866160 .6160 .6160 .6160
;00.0 200.0 0.0 0.0 0.0 0.0
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I#$lied EEBITDA
>nterprise :alue
&T% >'T9A
I#$lied EEBITDA
I#$lied ?er$e!"i!% Gr
Exi
416x 516x 0.0 8166 8176
0 0
D A C C 412 0 0
0 0 51, 0 0
0 0 512 0 0
0 0 ,61, 0 00 0 ,612 0 0
? of Ter#inal al"e a of
Exi
416x 516x K9:H0L 716x 216x
0 0
D A C C 412 K9:H0L K9:H0L
0 0 51, K9:H0L K9:H0L
0 0 512 K9:H0L K9:H0L
0 0 ,61, K9:H0L K9:H0L
0 0 ,612 K9:H0L K9:H0L
I#$lied En!er$rie al"e
Exi
416x 516x 0.0 716x 216x
0.00 0.00
D A C C 412 0.0" 0.0"
0.00 0.00 51, 0.0" 0.0"
0.00 0.00 512 0.0" 0.0"
0.00 0.00 ,61, 0.0" 0.0"
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0.00 0.00 ,612 0.0" 0.0"
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CAGR
86,5E 8686E ,6A*,7E ,2E*86E
K9:H0L K9:H0L
K9:H0L K9:H0L
K9:H0L K9:H0L
K9:H0L K9:H0L
K9:H0L K9:H0L
86,5E 8686E
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86,5E 8686E
0.0 0.0
.6160 .6160
0.0 0.0
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!( Ra!e
! M"l!i$le
;166 ;176 9166
0 0 0
0 0 0
6 0 0
0 0 00 0 0
En!er$rie al"e
! M"l!i$le
316x 416x 516x
K9:H0L K9:H0L K9:H0L
K9:H0L K9:H0L K9:H0L
HDI6 K9:H0L K9:H0L
K9:H0L K9:H0L K9:H0L
K9:H0L K9:H0L K9:H0L
LTM EBITDA
! M"l!i$le
316x 416x 516x
0.0" 0.0" 0.0"
0.0" 0.0" 0.0"
616x 0.0" 0.0"
0.0" 0.0" 0.0"
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0.0" 0.0" 0.0"
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Financial Modelling LAB
A? Model
S!e$ , * S!"d% !(e !arge!< define 'e% gro!( drier and $roec! !(e Inco#e S!a!e#en!
Inco#e S!a!e#en! .M0 86,6A 86,,E 86,8E
=evenues ,,,8516 ,,2451,C ro+t *A F.0C
!/ *92;91; *943717
ross 5rofit 6,;D;.E 6,?13.6
/A *96,71, *9,4319
>'T9A 2,;ED.E 2,626.2
9epre$iation Aortisation *9491, *95913
>'T 1,DDF.6 2,131.6
Ta"es (6??.F) (E3F.;)
>'AT 1,30E.1 1,3D6.2
S!e$ 8 * Calc"la!e !(e dico"n! ra!e< "ed !o dico"n! !(e CF and Ter#inal al"e .T0 !o !(e $re
!nly te unlevered $ost of eJuity (A5%)
Dico"n! Ra!e Calc"la!ion
Cost of Equity
=is-free =ate 716
%aret =is 5reiu 41,
4nlevered 'eta 0.?
Co! of E"i!% .CA?M0 ,,1;
S!e$ ; * ?roec! !(e !arge!K Ca( Flo ignoring !(e ca$i!al !r"c!"re and dico"n! !(e# i!( !(
FCF .M0 86,6A 86,,E 86,8E
>'T9A 2,;ED.E 2,626.2
9epre$iation Aortisation (;?;.1) (;D;.E)
>'T 1,DDF.6 2,131.6
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Ta"es (6??.F) (E3F.;)
>'AT 1,30E.1 1,3D6.2
5lusI 9epre$iation Aorti@ation ;?;.1 ;D;.E
&essI apital >"penditures (F?0.F) (60E.?3)
&essI n$rease in *et oring apital 3D.6 D2.F
Unleered Free Ca( Flo ,%%)
?er$e!"i!% Gro!( Me!(od
Terinal 8ear ## (2020>) B2,0D6.1
5erpetuity ro+t =ate ;16 Ter#inal al"e 87
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S!e$ 2 * De!er#ine !(e al"a!ion:
a) te 5: of ##, 5: of T: and 5: of Ta" sields b) >nterprise (>:)
86,6A
5: of ## DF0;.6
5: of T: ?D02.;5: of Ta" /ields ;2.3
En!er$rie al"e ,4nterprise :alue B1?,;;D.2
&essI Total 9ebt .5;81,0
&essI 5referred /e$urities -
&essI *on$ontrolling nterest -
5lusI as and as >Juivalents ,
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512 30.D; 30.D; ;6159
,61, 2?.E2 2?.E2 2?.E2
,612 26.E? 26.E? 26.E?
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86,;E 86,9E 86,7E 86,2E 86,3E 86,4E
,884217 ,84951, ,;85412 ,;3781, ,988,12 ,936314F.1C ;.6C 3.FC 3.;C 3.;C 3.;C
*78;91; *79351; *723712 *743814 *26331, *284414
E,0F2.2 E,36D.? E,623.0 E,?ED.3 ?,1;;.F ?,;1D.0
*9,9616 *9;8613 *977216 *93621, *942,19 *768,14
2,D12.2 3,0;D.1 3,06E.0 3,1E3.2 3,2?3.2 3,3DE.2
*;;512 *;9618 *;7,1; *;2812 *;3919 *;4217
2,FE2.6 2,E0?.D 2,E1F.E 2,?10.F 2,D0?.? 3,010.E
(??E.6) (D3;.6) (D36.D) (D6D.6) (1,003.F) (1,03?.E)
1,6?F.1 1,EE;.3 1,EE?.? 1,?;0.D 1,D0F.3 1,DE2.0
n! "ing:
Unleering Be!a
&evered 'eta 6149
9ebt-to->Juity ratio (9H>) ,,1,
Ta" =ate ;917
4nlevered 'eta 0.E?
co! of e"i!%
86,;E 86,9E 86,7E 86,2E 86,3E 86,4E
2,D12.2 3,0;D.1 3,06E.0 3,1E3.2 3,2?3.2 3,3DE.2
(33D.6) (3;0.2) (3F1.3) (362.6) (3E;.;) (3?6.F)
2,FE2.6 2,E0?.D 2,E1F.E 2,?10.F 2,D0?.? 3,010.E
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(??E.6) (D3;.6) (D36.D) (D6D.6) (1,003.F) (1,03?.E)
1,6?F.1 1,EE;.3 1,EE?.? 1,?;0.D 1,D0F.3 1,DE2.0
33D.6 3;0.2 3F1.3 362.6 3E;.; 3?6.F
(61;.32) (FE?.21) (F31.D;) (;12.F6) (;26.6F) (;;1.23)
106.; ;D.? ;;.3 3E.E 3D.0 ;0.;
,
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I#$lied EEBITDA
>nterprise :alue B1?,;;D.2
&T% >'T9A 8
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30.D; 30.D; 512 D.6" D.6"
2?.E2 2?.E2 ,61, ?.D" ?.D"
26.E? 26.E? ,612 ?.3" ?.3"
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CAGR
86,5E 8686E ,6A*,7E ,2E*86E
,78,,18 ,73;817 ;.6C 3.;C3.;C 3.;C
*27641, *23;719
?,E03.0 ?,DDE.0 ;.1C 3.;C
*7,4313 *7;751;
3,F1F.3 3,63E.E F.FC 3.FC
*;5516 *9,816
3,116.3 3,22F.? ?.0C 3.FC
(1,0EF.1) (1,112.D)
2,0;1.2 2,112.D ?.0C 3.FC
86,5E 8686E
3,F1F.3 3,63E.E
(3DD.0) (;12.0)
3,116.3 3,22F.?
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(1,0EF.1) (1,112.D)
2,0;1.2 2,112.D
3DD.0 ;12.0
(;F6.3;) (;E1.DE)
;1.? ;3.3
8
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!( Ra!e
! M"l!i$le
;166 ;176 9166
2E,E3? 2D,;?; 31,611
2F,3DD 26,?00 2?,;EF8;
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512x D.6" D.6"
?.D" ?.D" ?.D"
?.3" ?.3" ?.3"
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!C. (O
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" S!e$ , * De!er#ine !(e So"rce and Ue of f"nd
So"rce of F"nd M x EBITDA
/enior debt K9:H0L 96166
%e@@anine K9:H0L ,7166
To!al de+! K9:H0L K9:H0L
>Juity K9:H0L 97166
To!al E"i!% K9:H0L K9:H0L
To!al o"rce 0.0 K9:H0L
/4 $e$ !
" S!e$ 8 - Define !(e a"#$!ion of !(e #odel
.0 8665A 86,6A 86,,E 86,8E
/ales ro+t (C) ,2 ,2>'T9A %argin (C /ales) ;8 ;89A (C /ales) ; ;ange in oring apital (C /ales) 9 9ap>" (C /ales) 9 9Ta" (C >'T) 89 89as /+eep (C of >"$ess as) 37 37
" S!e$ ; - Define !(e de+! c(ed"le and $ricing
De+! S!r"c!"re Ter# ./ear0
/enior debt 7%e@@anine 3
5 >leentas >leent
&'!=
De+! Re$a%#en! Sc(ed"le 8665A 86,6A 86,,E 86,8E
Senior de+!
nterest rate E.FFC E.FFC
#i"ed $arges $over Aortisation s$edule (C of total fa$ility) ,6 ,7
!pening 'alan$e
5rin$ipal repayents 0.0 0.0
as s+eep
nterest e"pense
losing 'alan$e 0.0
Me==anine
nterest rate - 5 F.0C F.0C
nterest rate - $as ?.3C ?.3C
Aortisation s$edule (C of total fa$ility) 6 6
!pening 'alan$e5rin$ipal repayents 0.0 0.0
nterest e"pense - 5
nterest e"pense - $as
losing 'alan$e 0.0
Total /enior debt
Total debt
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" S!e$ 9 - Foreca! !(e Inco#e S!a!e#en!
M 8665A 86,6A 86,,E 86,8E
Reen"e 28319 32516
EBITDA ,4418 8;613
9epre$iationAortisation
EBIT 271, 3219
In!ere!
/enior debt
%e@@anine 5
%e@@anine as
Total as interest (/enior debt G %e@@anine $as)
To!al In!ere! .Ca( in!ere! J Me==anine ?I)0
nterest $e$ ! !
EBT
Tax 0.0 0.0
*et in$oe
" S!e$ 7 * Calc"la!e !(e ca( flo & ca( +alance
M 8665A 86,6A 86,,E 86,8E
EBITDA
AdustentsI
- ange in oring apital
- Ta"
- ap>"
Ca( flo +efore financing .CFBF0
## (C >'T9A) K9:H0L K9:H0L
Total as interest (/enior debt G %e@@anine $as)
Ca( flo aaila+le for de+! re$a%#en! .Free ca( flo * FCF0
9ebt =epayents
Exce Ca(
as /+eep 0.0 0.0
!pening as 'alan$e 616
as n$reaseH(9e$rease)
Cloing Ca( Balance
as balan$e $e$ NO. NO.
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" S!e$ 2 - Calc"la!e !(e credi! !a!i!ic
M 8665A 86,6A 86,,E 86,8E
>'T9A
*et /enior debt
*et Total debt
Total as interest (/enior debt G %e@@anine $as)ap>"
Leerage ra!io .#axi#"#0
1. *et /enior debtH>'T9A
Assued eadroo 8616 8616
Adusted >'T9A
ovenant &evel
?ro$oed Coenan! 6166x 6166x
eadroo K9:H0L K9:H0L
2. *et Total debtH>'T9A
Assued eadroo 8616 8616
Adusted >'T9A
ovenant &evel
?ro$oed Coenan! 6166x 6166x eadroo K9:H0L K9:H0L
In!ere! coer ra!io .#ini#"#0
1. >'T9AHas interest
Assued eadroo 8616 8616
Adusted >'T9A
ovenant &evel
?ro$oed Coenan! 6166x 6166x
eadroo K9:H0L K9:H0L
2. (>'T9A-ape")Has interest
Assued eadroo 8616 8616
Adusted >'T9A
ovenant &evel
?ro$oed Coenan! 6166x 6166x eadroo K9:H0L K9:H0L
Ca( coer .#ini#"#0
#'#H(as interestG9ebt =epayent)O K9:H0L K9:H0L
Coenan! ,16x ,16xeadroo K9:H0L K9:H0L
OAlso no+n as fi"ed $arges $over
" S!e$ 3 - Calc"la!e !(e IRR and eni!ii!% anal%i
Re!"rn Anal%i * Seni!ii!% exi! %ear exi! #"l!i$le
8ear of >"it 86,9 86,7 86,2>'T9A
Total debt
losing $as position
?roceed !o E"i!%86,9 86,7 86,2
EBITDA Exi! M"l!i$le
716x 0.0 0.0 0.0
216x 0.0 0.0 0.0
316x 0.0 0.0 0.0
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Ue M
>'T9A (0E)
%ultiple 216x
>nterprise value
#ees (C) 7166
To!al Ue
86,;E 86,9E 86,7E 86,2E 86,3E
,2 ,6 3 7 7;; ;9 ;7 ;7 ;7; ; ; ; ;; ; 9 9 9; ; 9 9 9
89 89 89 89 8937 37 37 37 37
A#or!1 x EBITDA A#o"n! Margin In!ere! ra!e
'alloon K9:H0L 0.0 ;187 E.FFC'ullet K9:H0L 0.0
71669166 ?.30C
91;6
86,;E 86,9E 86,7E 86,2E 86,3E
E.FFC E.FFC E.FFC E.FFC E.FFC
86 87 ;6 6 6
0.0 0.0 0.0 0.0 0.0
F.0C F.0C F.0C F.0C F.0C
?.3C ?.3C ?.3C ?.3C ?.3C
6 6 6 6 ,66
0.0 0.0 0.0 0.0 0.0
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86,;E 86,9E 86,7E 86,2E 86,3E
! ! ! ! !
0.0 0.0 0.0 0.0 0.0
86,;E 86,9E 86,7E 86,2E 86,3E
K9:H0L K9:H0L K9:H0L K9:H0L K9:H0L
0.0 0.0 0.0 0.0 0.0
NO. NO. NO. NO. NO.
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86,;E 86,9E 86,7E 86,2E 86,3E
8817 8817 8716 8716 8716
6166x 6166x 6166x 6166x 6166x
K9:H0L K9:H0L K9:H0L K9:H0L K9:H0L
8817 8817 8716 8716 8716
6166x 6166x 6166x 6166x 6166xK9:H0L K9:H0L K9:H0L K9:H0L K9:H0L
8817 8817 8716 8716 8716
6166x 6166x 6166x 6166x 6166x
K9:H0L K9:H0L K9:H0L K9:H0L K9:H0L
8817 8817 8716 8716 8716
6166x 6166x 6166x 6166x 6166xK9:H0L K9:H0L K9:H0L K9:H0L K9:H0L
K9:H0L K9:H0L K9:H0L K9:H0L K9:H0L
,16x ,16x ,16x ,16x 615xK9:H0L K9:H0L K9:H0L K9:H0L K9:H0L
Total eJuity at entry
IRR86,9 86,7 86,2
K9:H0L K9:H0L K9:H0L
K9:H0L K9:H0L K9:H0L
K9:H0L K9:H0L K9:H0L
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" S!e$ , * De!er#ine !(e So"rce and Ue of f"nd
So"rce of F"nd M x EBITDA
/enior debt 74,1; 2.F" 96166
%e@@anine 8,416 0.D" ,7166
To!al de+! EDD.3 3.F" FF.00C
>Juity 27916 2.?" 97166
To!al E"i!% 6F;.0 2.?" ;F.00C
To!al o"rce 1,;F3.3 100.00C
/4 $e$ !
" S!e$ 8 - Define !(e a"#$!ion of !(e #odel
.0 8665A 86,6A 86,,E 86,8E
/ales ro+t (C) ,2 ,2>'T9A %argin (C /ales) ;8 ;89A (C /ales) ; ;ange in oring apital (C /ales) 9 9ap>" (C /ales) 9 9Ta" (C >'T) 89 89as /+eep (C of >"$ess as) 37 37
" S!e$ ; - Define !(e de+! c(ed"le and $ricing
De+! S!r"c!"re Ter# ./ear0
/enior debt 7%e@@anine 3
5 >leentas >leent
&'!=
De+! Re$a%#en! Sc(ed"le 8665A 86,6A 86,,E 86,8E
Senior de+!
nterest rate E.FFC E.FFC
#i"ed $arges $over 1.0" 1.0" Aortisation s$edule (C of total fa$ility) ,6 ,7
!pening 'alan$e F?1.3 ;?6.2
5rin$ipal repayents (F?.1) (?E.2)
as s+eep (3E.0) (3E.1)
nterest e"pense (;3.D) (36.E)
losing 'alan$e F?1.3 ;?6.2 361.?
Me==anine
nterest rate - 5 F.0C F.0C
nterest rate - $as ?.3C ?.3C
Aortisation s$edule (C of total fa$ility) 6 6
!pening 'alan$e 21?.0 22?.D5rin$ipal repayents 0.0 0.0
nterest e"pense - 5 (10.D) (11.;)
nterest e"pense - $as (1?.1) (1D.0)
losing 'alan$e 21?.0 22?.D 2;0.3
Total /enior debt ;?6.2 361.?
Total debt E1F.1 602.2
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" S!e$ 9 - Foreca! !(e Inco#e S!a!e#en!
M 8665A 86,6A 86,,E 86,8E
Reen"e 28319 32516 ?D2.0 1,03;.E
EBITDA ,4418 8;613 2?F.; 331.1
9epre$iationAortisation (26.?) (31.0)
EBIT 271, 3219 2F?.E 300.1
In!ere!
/enior debt (;3.D) (36.E)
%e@@anine 5 (10.D) (11.;)
%e@@anine as (1?.1) (1D.0)
Total as interest (/enior debt G %e@@anine $as) (62.0) (FF.E)
To!al In!ere! .Ca( in!ere! J Me==anine ?I)0 .38150 .23180
nterest $e$ ! !
EBT 1?F.? 232.D
Tax (;;.6) (FF.D)
*et in$oe 1;1.2 1EE.0
" S!e$ 7 * Calc"la!e !(e ca( flo & ca( +alance
M 8665A 86,6A 86,,E 86,8E
EBITDA 2?F.; 331.1
AdustentsI
- ange in oring apital (3F.E) (;1.;)
- Ta" (;;.6) (FF.D)
- ap>" (3F.E) (;1.;)
Ca( flo +efore financing ,2517 ,5819
## (C >'T9A) FD.;C F?.1C
Total as interest (/enior debt G %e@@anine $as) (62.0) (FF.E)
Ca( flo aaila+le for de+! re$a%#en! .Free ca( flo * FCF0 ,6317 ,;213
9ebt =epayents (F?.1) (?E.2)
Exce Ca( 9519 9517
as /+eep (3E.0) (3E.1)
!pening as 'alan$e 616 12.3
as n$reaseH(9e$rease) 12.3 12.;
Cloing Ca( Balance 12.3 2;.E
as balan$e $e$ ! !
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" S!e$ 2 - Calc"la!e !(e credi! !a!i!ic
M 8665A 86,6A 86,,E 86,8E
>'T9A 2?F.; 331.1
*et /enior debt ;E3.? 33E.1
*et Total debt E02.E FEE.F
Total as interest (/enior debt G %e@@anine $as) (62.0) (FF.E)ap>" (3F.E) (;1.;)
Leerage ra!io .#axi#"#0
1. *et /enior debtH>'T9A 1.E" 1.0"
Assued eadroo 8616 8616
Adusted >'T9A 22?.; 26;.D
ovenant &evel 2.0?" 1.2E"
?ro$oed Coenan! 81,6x ,187x
eadroo 21.0C 1?.6C
2. *et Total debtH>'T9A 2.F" 1.E"
Assued eadroo 8616 8616
Adusted >'T9A 22?.; 26;.D
ovenant &evel 3.0?" 2.1?"
?ro$oed Coenan! ;1,6x 8186x eadroo 20.6C 20.EC
In!ere! coer ra!io .#ini#"#0
1. >'T9AHas interest ;.6" F.D"
Assued eadroo 8616 8616
Adusted >'T9A 22?.; 26;.D
ovenant &evel 3.6?" ;.E6"
?ro$oed Coenan! ;136x 9137x
eadroo 1D.EC 20.1C
2. (>'T9A-ape")Has interest ;.0" F.2"
Assued eadroo 8616 8616
Adusted >'T9A 22?.; 26;.D
ovenant &evel 3.11" ;.01"
?ro$oed Coenan! ;1,6x 9166x eadroo 23.1C 23.1C
Ca( coer .#ini#"#0
#'#H(as interestG9ebt =epayent)O 1.;" 1.3"
Coenan! ,16x ,16xeadroo 2D.1C 2F.EC
OAlso no+n as fi"ed $arges $over
" S!e$ 3 - Calc"la!e !(e IRR and eni!ii!% anal%i
Re!"rn Anal%i * Seni!ii!% exi! %ear exi! #"l!i$le
8ear of >"it 86,9 86,7 86,2>'T9A ;;?.D ;D;.F F1D.2
Total debt 26F.0 2E?.2 2D2.1
losing $as position 11F.? 3EF.2 6;E.6
?roceed !o E"i!%86,9 86,7 86,2
EBITDA Exi! M"l!i$le
716x 2,0DF.3 2,F6D.2 2,DF1.3
216x 2,F;;.2 3,063.E 3,;E0.F
316x 2,DD3.1 3,FF?.1 3,D?D.E
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Ue M
>'T9A (0E) 230.E
%ultiple 216x
>nterprise value 1,3?;.1
#ees (C) 7166 2518
To!al Ue 1,;F3.3
86,;E 86,9E 86,7E 86,2E 86,3E
,2 ,6 3 7 7;; ;9 ;7 ;7 ;7; ; ; ; ;; ; 9 9 9; ; 9 9 9
89 89 89 89 8937 37 37 37 37
A#or!1 x EBITDA A#o"n! Margin In!ere! ra!e
'alloon 2.F" F?1.3 ;187 E.FFC'ullet 0.D" 21?.0
71669166 ?.30C
91;6
86,;E 86,9E 86,7E 86,2E 86,3E
E.FFC E.FFC E.FFC E.FFC E.FFC
1.0" 1.0" 1.0" 1.0" 0.D"
86 87 ;6 6 6361.? 1ED.3 0.0 0.0 0.0
(116.3) (1;F.3) 0.0 0.0 0.0
(66.3) (3;.0) 0.0 0.0 0.0
(2E.3) (13.F) 0.0 0.0 0.0
1ED.3 0.0 0.0 0.0 0.0
F.0C F.0C F.0C F.0C F.0C
?.3C ?.3C ?.3C ?.3C ?.3C
6 6 6 6 ,66
2;0.3 2F2.; 26F.0 2E?.2 2D2.10.0 0.0 0.0 0.0 (306.?)
(12.0) (12.6) (13.2) (13.D) (1;.6)
(1D.D) (20.D) (22.0) (23.1) (2;.2)
2F2.; 26F.0 2E?.2 2D2.1 0.0
1ED.3 0.0 0.0 0.0 0.0
;31.E 26F.0 2E?.2 2D2.1 0.0
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86,;E 86,9E 86,7E 86,2E 86,3E
1,200.3 1,320.3 1,;12.E 1,;?3.; 1,FFE.F
3D6.1 ;;?.D ;D;.F F1D.2 F;F.1
(36.0) (3D.6) (;2.;) (;;.F) (;6.E)
360.1 ;0D.3 ;F2.1 ;E;.E ;D?.;
(2E.3) (13.F) 0.0 0.0 0.0
(12.0) (12.6) (13.2) (13.D) (1;.6)
(1D.D) (20.D) (22.0) (23.1) (2;.2)
(;E.3) (3;.F) (22.0) (23.1) (2;.2)
.751;0 .931,0 .;7180 .;3160 .;4150
! ! ! ! !
300.? 362.2 ;16.? ;3E.E ;FD.6
(E2.2) (?6.D) (100.0) (10F.0) (110.3)
22?.6 2EF.3 316.? 332.6 3;D.3
86,;E 86,9E 86,7E 86,2E 86,3E
3D6.1 ;;?.D ;D;.F F1D.2 F;F.1
(36.0) (3D.6) (F6.F) (FD.3) (62.3)
(E2.2) (?6.D) (100.0) (10F.0) (110.3)
(36.0) (3D.6) (F6.F) (FD.3) (62.3)
87,15 84814 84,19 85717 ;,618
63.6C 63.0C F6.DC F6.DC F6.DC
(;E.3) (3;.F) (22.0) (23.1) (2;.2)
86912 8941; 87519 83819 84216
(116.3) (1;F.3) 0.0 0.0 (306.?)
441; ,6815 87519 83819 .86140
(66.3) (3;.0) 0.0 0.0 0.0
2;.E ;6.? 11F.? 3EF.2 6;E.6
22.1 6D.0 2FD.; 2E2.; (20.?)
;6.? 11F.? 3EF.2 6;E.6 626.?
! ! ! ! !
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86,;E 86,9E 86,7E 86,2E 86,3E
3D6.1 ;;?.D ;D;.F F1D.2 F;F.1
132.F (11F.?) (3EF.2) (6;E.6) (626.?)
3?;.D 1;D.2 (DE.0) (3FF.;) (626.?)
(;E.3) (3;.F) (22.0) (23.1) (2;.2)(36.0) (3D.6) (F6.F) (FD.3) (62.3)
0.3" (0.3") (0.?") (1.2") (1.1")
8817 8817 8716 8716 8716
30E.0 3;E.D 3E0.? 3?D.; ;0?.D
0.;3" (0.33") (1.01") (1.66") (1.F3")
6197x .61;7x0 .,166x0 .,127x0 .,177x0
2F.EC 26.3C 2;.1C 2;.;C 2F.?C
1.0" 0.3" (0.2") (0.E") (1.1")
8817 8817 8716 8716 8716
30E.0 3;E.D 3E0.? 3?D.; ;0?.D
1.2F" 0.;3" (0.26") (0.D1") (1.F3")
,187x 6197x .6187x0 .6156x0 .,177x022.3C 26.1C 21.6C 23.DC 2F.?C
?.;" 13.0" 22.F" 22.F" 22.F"
8817 8817 8716 8716 8716
30E.0 3;E.D 3E0.? 3?D.; ;0?.D
6.;D" 10.0D" 16.?6" 16.?6" 16.?6"
2176x ,61,6x ,2147x ,2147x ,2147x
22.;C 22.;C 2F.1C 2F.1C 2F.1C
E.6" 11.D" 1D.D" 1D.D" 1D.D"
8817 8817 8716 8716 8716
30E.0 3;E.D 3E0.? 3?D.; ;0?.D
F.E3" ?.D;" 1;.2D" 1;.2D" 1;.2D"
7137x 4157x ,91;6x ,91;6x ,91;6x2;.FC 2;.6C 2?.2C 2?.2C 2?.2C
1.F" 1.6" 12.?" 12.?" 0.D"
,16x ,16x ,16x ,16x 615x3F.1C 36.;C D2.2C D2.2C ;.0C
Total eJuity at entry 6F;.0
IRR86,9 86,7 86,2
33.?C 31.FC 2?.FC
;0.;C 36.2C 32.1C
;6.3C ;0.3C 3F.2C
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Financial Modelling LAB
Balance S(ee! Si#$lifica!ion
Ini!ial for# of !(e Balance (ee! Ada$!a!ion of !(e Balance (ee!
Cloing Balance S(ee! Cloing Balance S(ee!
C"rren! Ae! urrent Assets
as as >Juivalents ,
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S!e$ , * De!er#ine !(e So"rce and Ue of f"nd?ro For#a Ca$i!alia!ion
So"rce of F"nd M x EBITDA U
/enior debt >'
Ter &oan A ;'T) ;917 ;917
/areolder loan 5 ta" dedu$tibility (C) ;16 ;16
as /+eep (C of >"$ess as) 76 76
/ales ro+t (C) 5re $risis ad. ,616 ,616
'ase ase
/tress ase
>'T9A %argin (C /ales) 5re $risis ad. ;16 ;16
'ase ase
/tress ase
ape" (C /ales) 5re $risis ad. .,160 .,160
'ase ase
/tress ase
S!e$ ; - Define !(e de+! !er# and $ricing
De+! S!r"c!"re Ter# ./ear0 A#or!1 x EBITDA A#o"n!
/enior debt
=# #a$ility - EF0.0
ape" #a$ility 'ullet EF0.0Ter &oan A 'alloon K9:H0L 3,E00.0
Ter &oan ' 'ullet K9:H0L 3,E00.0
Ter &oan 4 'ullet K9:H0L 0 0
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Ter# Loan A
'ase =ate , 0.00C 0.00Cnterest rate
#i"ed arges over
Average &ife of te fa$ility Aortisation s$edule (C of total fa$ility)
!pening 'alan$e
5rin$ipal repayents 0.0 0.0
as s+eep
nterest e"pense
losing 'alan$e
Ter# Loan B
'ase =ate ,
nterest rate
Aortisation s$edule (C of total fa$ility) 0.0C 0.0C
!pening 'alan$e
5rin$ipal repayents 0.0 0.0
as s+eep
nterest e"pense
losing 'alan$e
Ter# Loan C
'ase =ate , 0.00C 0.00C
nterest rate
Aortisation s$edule (C of total fa$ility) 0.0C 0.0C
!pening 'alan$e
5rin$ipal repayents 0.0 0.0
as s+eepnterest e"pense
losing 'alan$e
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S!e$ 2 - Foreca! !(e inco#e !a!e#en!
M 8665A 86,6A 86,,E 86,8E
Reen"e
EBITDA
9epre$iation Aortisation
EBIT
In!ere! Inco#e
nterest e"pense
/enior debt (T&a, T&b, T&$ or /enior /e$ured 'ond)
=# #a$ility
ape" #a$ility
%e@@anine 5
%e@@anine as
/areolder loan 5
Total as interest (/en. debt G =# G ape" G %e@@. $as)
To!al In!ere! .Ca( In!ere! J Me==1 ?I) J S>L ?I)0
Ne! In!ere!
EBT
Taxa+le inco#e
Tax 0.0 0.0
*et in$oe
S!e$ 3 * Calc"la!e !(e ca( flo & ca( +alance
M 8665A 86,6A 86,,E 86,8E
EBITDA
AdustentsI
- ange in *et oring apital
- Ta"- ape"
G #a$ility funded $ape"
Ca( flo +efore financing .CFBF0
## (C >'T9A) K9:H0L K9:H0L
Total as interest (/en. debt G =# G ape" G %e@@. $as)
nterest n$oe
Ca( flo aaila+le for de+! re$a%#en! .Free Ca( Flo * FCF0
9ebt =epayents
Exce Ca(
as /+eep
!pening as 'alan$e
as n$reaseH(9e$rease)=# 9ra+do+nH=epayent
Cloing Ca( Balance
as balan$e $e$ NO. NO.
S!e$ 4 * Calc"la!e !(e e"en!ial ca( ee$
M 86,6A 86,,E 86,8E
Ter# Loan A
as /+eep available
!utstanding debt before s+eep
>ffe$tive s+eep to Ter &oan A
Ter# Loan B
as /+eep available
!utstanding debt before s+eep>ffe$tive s+eep to Ter &oan '
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To!al ae!
&ong ter debt
=# #a$ility
ape" #a$ility
Ter &oan A
Ter &oan '
Ter &oan
%e@@anine
>Juity
/areolder loan
oon /to$
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S!e$ ,, - Calc"la!e !(e credi! !a!i!ic
M 8665A 86,6A 86,,E 86,8E
>'T9A
*et /enior debt
*et Total debt
*et as interest (=#Gape"G/en.debtG%e@@.as-nt.n$oe)
ape"
5 3ebt 6 2otal 7a+itali8ation #DIV/0! #DIV/0!
1. *et /enior debtH>'T9A
Assued eadroo 8616 8616
Adusted >'T9A
ovenant &evel
?ro$oed Coenan! 6166x 6166x
eadroo K9:H0L K9:H0L
2. *et Total debtH>'T9A
Assued eadroo 8616 8616
Adusted >'T9A
ovenant &evel
?ro$oed Coenan! 6166x 6166x
eadroo K9:H0L K9:H0L
In!ere! coer ra!io .#ini#"#01. >'T9AHas interest
Assued eadroo 8616 8616
Adusted >'T9A
ovenant &evel
?ro$oed Coenan! 6166x 6166x
eadroo - -
2. (>'T9A-ape")Has interest
Assued eadroo 8616 8616
Adusted >'T9A
ovenant &evel
?ro$oed Coenan! 6166x 6166x
eadroo - -
Ca( coer .#ini#"#0#'#H(as interestG9ebt =epayent)O - -
?ro$oed Coenan! ,166x ,166x
d
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1
2
3
;
8686E
0.0C
0.0C
0.0C
;917
;16
76
,16
;16
.,160
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0.00C
0.0
0.0C
0.0
0.00C
0.0C
0.0
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8686E
0.0
8686E
K9:H0L
NO.
8686E
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8686E
#DIV/0!
8716
6166x
K9:H0L
8716
6166x
K9:H0L
8716
6166x
-
8716
6166x
-
-
,166x
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S!e$ , * De!er#ine !(e So"rce and Ue of f"nd?ro For#a Ca$i!alia!ion
So"rce of F"nd M x EBITDA U
/enior debt >
Ter &oan A 9Juity (fro anageent) 8616 6176
To!al In!i!"!ional E"i!% 2"$ess as) 76 76
/ales ro+t (C) 5re $risis ad. ,616 ,616
'ase ase ;15 716
/tress ase 816 916
>'T9A %argin (C /ales) 5re $risis ad. ;16 ;16
'ase ase 881; 8817
/tress ase ,716 ,716
ape" (C /ales) 5re $risis ad. .,160 .,160
'ase ase 718 718
/tress ase 816 816
S!e$ ; - Define !(e de+! !er# and $ricing
De+! S!r"c!"re Ter# ./ear0 A#or!1 x EBITDA A#o"n!
/enior debt
=# #a$ility 2 - EF0.0
ape" #a$ility 2 'ullet EF0.0Ter &oan A 2 'alloon 1.?" ;,F00.0
Ter &oan ' 3 'ullet 1.6" ;,000.0
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Ter# Loan A
'ase =ate , 1.0?C 1.16Cnterest rate ;.33C ;.;1C
#i"ed arges over 2.2" 2.1"
Average &ife of te fa$ility 91;6 Aortisation s$edule (C of total fa$ility) 716 ,616
!pening 'alan$e ;,F00.0 3,6D?.D
5rin$ipal repayents (22F.0) (;F0.0)
as s+eep (FE6.1) (6;;.F)
nterest e"pense (1D;.E) (163.0)
losing 'alan$e ;,F00.0 3,6D?.D 2,60;.;
Ter# Loan B
'ase =ate , 1.0?C 1.16C
nterest rate ;.F?C ;.66C
Aortisation s$edule (C of total fa$ility) 0.0C 0.0C
!pening 'alan$e ;,000.0 ;,000.0
5rin$ipal repayents 0.0 0.0
as s+eep 0.0 0.0
nterest e"pense (1?3.0) (1?6.3)
losing 'alan$e ;,000.0 ;,000.0 ;,000.0
Ter# Loan C
'ase =ate , 1.0?C 1.16C
nterest rate ;.?3C ;.D1C
Aortisation s$edule (C of total fa$ility) 0.0C 0.0C
!pening 'alan$e ;,000.0 ;,000.0
5rin$ipal repayents 0.0 0.0
as s+eep 0.0 0.0 nterest e"pense (1D3.0) (1D6.3)
losing 'alan$e ;,000.0 ;,000.0 ;,000.0
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S!e$ 2 - Foreca! !(e inco#e !a!e#en!
M 8665A 86,6A 86,,E 86,8E
Reen"e 533912 ,636319 12,1DD.E 1;,033.E
EBITDA ,24,12 899917 3,0?;.2 3,FE;.0
9epre$iation Aortisation *9421; *92;16 (F30.E) (FD3.D)
EBIT 1,1DF.3 1,D?1.F 2,FF3.6 2,D?0.1
In!ere! Inco#e 2.2 E.0
nterest e"pense
/enior debt (T&a, T&b, T&$ or /enior /e$ured 'ond) (FE0.E) (F;F.F)
=# #a$ility (D.?) (D.?)
ape" #a$ility (D.?) (D.?)
%e@@anine 5 (1F0.0) (1FE.F)
%e@@anine as (1F2.3) (162.;)
/areolder loan 5 (32?.3) (36E.E)
Total as interest (/en. debt G =# G ape" G %e@@. $as) (E;2.F) (E2E.F)
To!al In!ere! .Ca( In!ere! J Me==1 ?I) J S>L ?I)0 .,ffe$tive s+eep to Ter &oan A (FE6.1) (6;;.F)
Ter# Loan B
as /+eep available 0.0 0.0
!utstanding debt before s+eep ;,000.0 ;,000.0 >ffe$tive s+eep to Ter &oan ' 0.0 0.0
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S!e$ ,, - Calc"la!e !(e credi! !a!i!ic
M 8665A 86,6A 86,,E 86,8E
>'T9A 3,0?;.2 3,FE;.0
*et /enior debt 11,122.E D,3?3.?
*et Total debt 1;,2E2.E 12,6D1.3
*et as interest (=#Gape"G/en.debtG%e@@.as-nt.n$oe) (E;0.3) (E20.F)
ape" (F1;.;) (F?D.;)
66.7% 62.5%
1. *et /enior debtH>'T9A 3.6" 2.6"
Assued eadroo 8616 8616
Adusted >'T9A 2,;6E.; 2,?FD.2
ovenant &evel ;.F1" 3.2?"
?ro$oed Coenan! 9176x ;1;6x
eadroo 1D.DC 20.;C
2. *et Total debtH>'T9A ;.6" 3.6"
Assued eadroo 8616 8616
Adusted >'T9A 2,;6E.; 2,?FD.2
ovenant &evel F.E?" ;.;;"
?ro$oed Coenan! 7146x 9197x
eadroo 20.2C 20.2C
In!ere! coer ra!io .#ini#"#01. >'T9AHas interest ;.2" F.0"
Assued eadroo 8616 8616
Adusted >'T9A 2,;6E.; 2,?FD.2
ovenant &evel 3.33" 3.DE"
?ro$oed Coenan! ;1;7x ;157x
eadroo 1D.6C 20.;C
2. (>'T9A-ape")Has interest 3.F" ;.1"
Assued eadroo 8616 8616
Adusted >'T9A 2,;6E.; 2,?FD.2
ovenant &evel 2.6;" 3.1F"
?ro$oed Coenan! 8127x ;1,7x
eadroo 23.EC 2;.0C
Ca( coer .#ini#"#0
#'#H(as interestG9ebt =epayent)O 2.2" 2.1"
?ro$oed Coenan! ,166x ,166x
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1
2
3
;
8686E
;.;C
26.1C
2.0C
.41;0
812
;917
;16
76
,16
;19
;16
;16
8;1,
8616
.,160
;16
816
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2.DEC6.22C
-
616
0.0
0.0
0.0
0.0
0.0
2.DEC
6.;EC
0.0C
0.0
0.0
0.0
0.0
0.0
2.DEC
6.E2C
0.0C
0.0
0.0
0.00.0
0.0
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8686E
2;,?0D.3
6,;?0.?
(6;D.6)
F,?31.2
66.1
0.0
0.0
0.0
0.0
0.0
(D10.3)
0.0
.5,61;0
.499180
;,D?E.0
F,?6D.D
(2,02F.1)
2,D61.?
8686E
6,;?0.?
?E.;
(2,02F.1)(;D6.2)
0.0
9
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;,
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8686E
6,;?0.?
(10,F;F.1)
(10,F;F.1)
66.1
(;D6.2)
0.0%
(1.6")
8716
;,?60.6
(2.1E")
.81,7x0
2;.3C
(1.6")
8716
;,?60.6
(2.1E")
.81,7x0
2;.3C
-
8716
;,?60.6
-
*
-
-
8716
;,?60.6
-
*
-
-
, 66x
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Financial Modelling LABModel O"!$"!
?re Crii Ban' and Me== ?ro For#a Ca$i!al S!r"c!"re86,6?F Bae Ca(
M A#o"n! C"#1 xEBITDA xE*C Ra!e Margin
Ter &oan A ;,F00.0 20.2C 1.?" 2.3" 1.0?C 3.2FC
Ter &oan ' ;,000.0 3?.2C 3.F" ;.3" 1.0?C 3.F0C
Ter &oan ;,000.0 F6.2C F.1" 6.3" 1.0?C 3.EFC
To!al Senior De+! ,8'T9A 6.3" ;.6" 3.6" 2.6" 1.D"
1. >'T9AHas interest ;.2" F.0" F.6" 6.2"
Total #i"ed arge over 2.1D" 2.0D" 2.00" 1.D2"
Refinancing Ri' 616 616 616 616
?reio" /ear Ne! To!al Leerage - - - -
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Avg. ost F.63C
86,4E 86,5E 8686E
6 7 (-
88
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?roec! ?ECEC(ar!
C(ar! ,
Sourses of Funds M
/enior debt
Ter &oan A ;,F00.0 0.2021DE20DE
Ter &oan ' ;,000.0 0.1EDE30?F3
Ter &oan ;,000.0 0.1EDE30?F3
/ubordinated debt
%e@@anine 3,000.0 0.13;ED?13D?
>Juity 6,EFF.F 0.303F;2D;;; 22,2FF.F
C(ar! 8
Equity breakdown M
#i"ed =eturn nstruents 2,E3F.F 0.;0;D2D316D
!rdinary /ares - nvestors ;,000.0 0.FD2110132F
!rdinary /ares - %anageent 20.0 0.002D60FF0E 6,EFF.F
+erm "oan A
+erm "oan #
+erm "oan C
Mezzanine
*8uit9
-ources of Funds
2-0
370
-0
Equity breadon
Fixed R
Pre Crisis Bank and Mezz
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C(ar! ;
Breakdown of Proceeds at 9x Multiple and Exit Yr !"#
Total 5ro$eeds ;?,2D3.E
Total 9ebt 3E,DE2.3 10,321.;
/areolder &oan 33,1F1.; ;,?20.D
5ro$eeds to 5> #und 6,630.3 26,F21.1
5ro$eeds to %anageent 0.0 6,630.3
Brea'don of ?roceed
86,9 86,7>'T9A ;,60?.D ;,D20.E
14it Multi+le %.$ %.$
as 2,E1F.0 ;,00E.F
To!al ?roceed 99
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20C of !rds F,6D1.D 6,630.3
?roceed !o Mg#! 7'T9A
al"e fro# Reen"e gro!(
=evenue
*e+ =evenue
=evenue at a$Juisition - */>=T &A/T #4&& 8>A= =>:>*4>/
A$tual >'T9A g
>'T9A g at a$Juisition
n$rease in >'T9Aal"e fro# Reen"e gro!(
TOTAL ALUE FROM REENUE GROT>
>'T9A a$tual
>'T9A g
>'T9A at entry =evenues
9ifferen$e in >'T9A
al"e fro# #argin i#$roe#en!
Re$enue ;ro=th *#I+DA m; "e$era;e Multiple-)-0
(-)-0
/-)-0
1-)-0
2-)-0
3-)-0
4-)-0
5-)-0
6-)-0
7-)-0
(--)-0
24)50
15)60
(3)20
-)
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nitial &everage
*et &everage at e"it
al"e fro# deleeraging
nitial %ultiple
>"it %ultiple
al"e fro# M"l!i$le ex$anion
To!al al"e crea!ed
Re!"rn +rea'don
=evenues
>'T9A g
&everage
%ultiple arbitrage
TOTAL
%%
=evenues>'T9A g
&everage
%ultiple arbitrage
C(ar! 7
%&ortisation Profile 86,6A 86,,E 86,8E
=# #a$ility 0.0 0.0 0.0
ape" #a$ility 0.0 0.0 0.0
Ter &oan A ;,F00.0 3,6D?.D 2,60;.;
Ter &oan ' ;,000.0 ;,000.0 ;,000.0Ter &oan ;,000.0 ;,000.0 ;,000.0
%e@@anine 3,000.0 3,1F0.0 3,30E.F
/-(-A /-((A /-(/A /-(1A /-(2A /-(3A /-(4A /-(5A /-)-
/
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C(ar! 2
'ses of EB()*% 86,,E 86,8E 86,;E
nterest n$oe -2.2 -E.0 -12.3
nterest e"pense E;2.F E2E.F EFE.6
Ta" FE0.; E21.; D6D.3
*et ape" F1;.; F?D.; F23.E*et 4se of =evolver 0.0 0.0 0.0
ange in * -11?.1 -1D6.3 -1DE.;
9ebt =epayents 22F.0 ;F0.0 6EF.0
as /+eep FE6.1 6;;.F E23.?
as FE6.1 1,220.6 1,D;;.F
C(ar! 3
86,,E 86,8E 86,;E
>'T9A %argins 2F.2?C 2F.;EC 26.E0C
/-((* /-(/* /-(1* /-(2* /-(3* /-(4*
:(
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C(ar! 4 86,,E 86,8E 86,;E
## C of >'T9A 6?.66C 6?.?1C 6?.??C
C(ar! 5
+e,erae Credit Statistics 86,,E 86,8E 86,;E
1. *et /enior debtH>'T9A 3.6" 2.6" 1.?"
5roposed ovenant ;.F" 3.3" 2.3"
eadroo 20C 20C 23C
/-((* /-(/* /-(1* /-(2* /-(3* /-(4*(-)--0
(3)--0
/-)--0
/3)--0
1-)--0
13)--0
2-)--0
23)--0
3-)--0
/3)/60 /3)250 /4)5-0 /4)510 /4)-40 /4)-50
E("TD0 Mar5ins
/-((* /-(/* /-(1* /-(2* /-(3* /-(4*3-)--0
33)--0
4-)--0
43)--0
5-)--0
53)--0
46)440 46)6(0 46)660 47)(-0
44)520
46)
FCF 6 of E("TD
1)4x
2)3x
/-0 /-0 /10 /(0 //0() Net Senior debt@*#I+DA roposed Co$enant
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C(ar! ,6
+e,erae Credit Statistics 86,,E 86,8E 86,;E
2. *et Total debtH>'T9A ;.6" 3.6" 2.6"
5roposed ovenant F.?" ;.F" 3.;" eadroo 20C 20C 22C
C(ar! ,,
(nterest Co,er Credit Statistics 86,,E 86,8E 86,;E1. >'T9AHas interest ;.2" F.0" F.6"
5roposed ovenant 3.;" ;.0" ;.;"
eadroo 20C 20C 22C
/-((* /-(/* /-(1* /-(2* /-(3*
/)4x
()6x
()(x
-)3x
1)1x
/)1x
()2x
-)5x
/-((* /-(/* /-(1* /-(2* /-(3*
2)4x
1)4x
/)4x
()7x
()1x
3)6x
2)3x
1)2x
/)3x
()5x
/-0 /-0 //0 /10
/30/) Net +otal debt@*#I+DA roposed Co$enant
/-0 /-0 //0 /10
/30() *#I+DA@Cash interest roposed Co$enant Headroom
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C(ar! ,;
Cas. Co,er Credit Statistics 86,,E 86,8E 86,;E
#'#H(as interestG9ebt =epayent)O 2.2" 2.1" 2.0"
5roposed ovenant 1.0" 1.0" 1.0"
eadroo F;C F2C F0C
C(ar! ,9
Enterprise /alue - 0b Lo >ig(
&'! entry 1E,111.F 22,000.F
*5: 1?,006.; 1D,1;;.F
A5: 21,F?3.E 23,;1F.0ops 21,DD2.? 2F,222.;
/-((* /-(/* /-(1* /-(2* /-(3* /-(4* /-(5*
/)/x /)(x /)-x ()7x
2)3x
1)7x
/)4x
()-x ()-x ()-x ()-x ()-x ()-x ()-x
-)3x -)3x -)3x -)3x -)6x -)5x -)4x
FCF@%Cash InterestDebt Repa9ment' roposed Co$ena
Entreprise alue 7 8(
/-((* /-(/* /-(1* /-(2* /-(3*
2)/x 3)-x 3)4x
4)/x 5)-x
1)2x 2)-x 2)2x 2)6x 3)1x
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C(ar! ,7
Reen"e Gro!( Mar'e! S(are
op1 F.0C 6.?C
op2 3.2C 13.FC
op3 2.DC E.DC
op; E.0C D.1CopF ?.DC 2.3C
op6 E.FC F.0C
opE F.EC ;.6C
op? ;.6C 2.EC
opD 3.FC F.EC
op10 6.1C 11.0C
"#O entr9 N! A!
"#O entr9 N! A!
"#O entr9 N!
A!
-)-0 /)-0 2)-0 4)-0 6)-0-)-0
/)-0
2)-0
4)-0
6)-0
(-)-0
(/)-0
(2)-0
(4)-0
Competition 0
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C(ar! ,2
EB()*% Bride M C"#"la!ie
>ntry >'T9A 2010 2,;;;.F
A ?0.0 2F2;.F
' 32F.0 2?;D.F
;0F.0 32F;.F
9 E?F.0 ;03D.F
> 1D0.0 ;22D.F# 323.0 ;FF2.F
2F?.0 ;?10.F
110.2 ;D20.E
>"it >'T9A 201F ;,D20.E 0.0
*ntr9 *#I+DA
/-(-
A # C D *
/
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+erm "oan
A
+erm "oan
#
+erm "oanC
Mezzanine
turn Instruments
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86,2F,23?.;
%.$
F,363.D
78
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E,6;0.?
3
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1F,F00.0
11,;31.F 10,321.; ?,D06.;
9
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86,9E 86,7E 86,2E 86,3E 86,4E 86,5E 8686E
-1?.1 -26.2 -36.F -;6.3 -F3.? -F3.; -66.1
E61.? E2F.2 6?0.E FD3.; ;E;.; 30E.D 0.0
1,111.3 1,216.2 1,330.2 1,;6F.1 1,616.? 1,EF2.; 2,02F.1
;F3.F F66.; ;01.? ;2E.6 ;FF.0 ;EF.2 ;D6.20.0 0.0 0.0 0.0 0.0 0.0 0.0
-1;0.E -1;F.? -100.E -10E.2 -11;.1 -?3.6 -?E.;
D00.0 0.0 2F0.0 ??6.1 2,?20.D ;,6F;.0 0.0
EE0.6 1,2D2.; 1,3F6.; 1,1ED.1 0.0 0.0 0.0
2,E1F.0 ;,00E.F F,363.D 6,F;3.0 E,2?1.F 6,;32.2 10,F;F.1
86,9E 86,7E 86,2E 86,3E 86,4E 86,5E 8686E
26.E3C 26.06C 26.0EC 26.0DC 26.10C 26.11C 26.12C
/-(5* /-(6* /-(7* /-/-*
er Net Capex +ax
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86,9E 86,7E 86,2E 86,3E 86,4E 86,5E 8686E
6D.10C 66.E;C 6?.?6C 6E.D?C 6E.03C 6F.;;C 62.;;C
86,9E 86,7E 86,2E 86,3E 86,4E 86,5E 8686E
1.1" 0.F" (0.1") (0.E") (1.2") (1.0") (1.6")
1.;" 0.E" (0.1") (0.D") (1.E") (1.;") (2.2")
21C 22C DC 26C 26C 26C 2;C
/-(5* /-(6* /-(7* /-/-*
/4)-70 /4)(-0 /4)((0 /4)(/0
/-(5* /-(6* /-(7* /-/-*
)64045)760
45)-10
43)220
4/)220
/40 /40 /40 /20 Headroom
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86,9E 86,7E 86,2E 86,3E 86,4E 86,5E 8686E
1.D" 1.3" 0.E" 0.1" (0.F") (1.0") (1.6")
2.F" 1.E" 0.D" 0.1" -0.E" -1.;" -2.2"23C 2FC 2FC 11C 26C 26C 2;C
86,9E 86,7E 86,2E 86,3E 86,4E 86,5E 8686E6.2" E.0" ?.1" 10.2" 1;.1" 2;.;" -
;.?" F.3" 6.1" E.E" 10.6" 1?.3" -
23C 2FC 2FC 2FC 2FC 2FC -
/-(4* /-(5* /-(6* /-(7* /-/-*
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86,9E 86,7E 86,2E 86,3E 86,4E 86,5E 8686E
1.D" ;.F" 3.D" 2.6" 1.2" 0.?" -
1.0" 1.0" 1.0" 1.0" 1.0" 1.0" 1.0"
;?C E?C E;C 61C 1EC -22C -
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nt Headroom
19 7 22
/-(4* /-(5* /-(6* /-(7* /-/-*
6)(x
(-)/x
(2)(x
4)(x
5)5x
(-)4x
(6)1x
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Comps
Comps
Comps
(-)-0 (/)-0 (2)-0
alysis
Comp(
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Comp1
Comp2
Comp3
Comp4
Comp5Comp6
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F B H *xit *#I+DA
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CO?/RIG>TS NOTE 86,;
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D M0TE"0- CO,T0",ED :EE",E0- 0,%EO/O*O-.
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