Module VI· Precedent Transactions Model BuildAdvanced
Question

How do you handle disputed transaction multiples: estimated versus disclosed?

Answer

Use disclosed values where possible. If EV, EBITDA, or synergies are estimated, flag them clearly and source the assumptions. For private deals, multiples may rely on press reports or broker estimates, so apply lower confidence. Do not mix synergy-adjusted and unadjusted multiples without labeling. Sensitize questionable data points.