Module II· Football Field & SensitivitiesIntermediate
Question

Middle-market case, TechCo Inc: construct a Football Field with DCF $1,000m, trading comps $850m–$1,050m, precedents $950m–$1,250m, LBO floor $750m–$900m.

Answer
  • DCF: $900–1,100m (DCF with sensitivity range).
  • Trading comps: $850–1,050m.
  • Precedents: $950–1,250m.
  • LBO floor: $750–900m.

Robust valuation range $900–1,050m (DCF, trading, and precedent overlap).

The LBO at about $800m provides downside protection.

The precedent upper end signals strategic-bid potential up to about $1,200m.

Deep diveShow more details

'Recommended equity value range $900m–$1,050m, supported by 3-method overlap; LBO floor $800m provides downside protection; strategic upside to $1,200m if a competitive auction develops.'