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EV/EBITDA Explained: A Key Valuation Multiple for Investors

Valutico

The core idea behind relative valuation is to estimate a company’s value by comparing it to similar companies based on how the market prices their financial metrics. EV/EBITDA is a widely used multiple in this relative valuation approach. What is EV/EBITDA? Breaking down the multiple What is EBITDA?

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Middle Market Private Equity M&A Activity – Q2 2020

Value Scope

Debt Usage Decline In Q2 2020, total debt to EBITDA fell to 3.3x decline in total debt to EBITDA was attributed to a decline in senior debt to EBITDA, pushing the percentage of subordinate debt to total debt to 15.2%, up 2.4% Despite the simple average enterprise value (EV) to EBITDA multiple remaining at 7.4x

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Middle Market Private Equity M&A Activity – Q2 2020

Value Scope

In Q2 2020, total debt to EBITDA fell to 3.3x decline in total debt to EBITDA was attributed to a decline in senior debt to EBITDA, pushing the percentage of subordinate debt to total debt to 15.2%, up 2.4% Despite the simple average enterprise value (EV) to EBITDA multiple remaining at 7.4x

Equity 130
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Net Working Capital in an M&A Transaction

Redpath

The purchase price in an M&A transaction is often thought about as the enterprise value , which is the adjusted EBITDA times a given multiple (that varies across different industries and sectors and is based on growth potential, market share, and competitive landscape); however, there is another important figure that is often forgotten about until (..)

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How EBITDA Margins Affect Revenue Multiples

Auto Dealer Valuation Insights

Whenever someone asks me what their RIA is worth as a multiple of revenue, I respond by asking about their firm’s EBITDA margin. My response is largely driven by the math behind the enterprise value (EV) to revenue ratio.

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The Relationship Between Revenue Multiples and EBITDA Margins

Auto Dealer Valuation Insights

In this week’s post, we focus on their key drivers and ways to improve the value of your management fees. Whenever someone asks me what their RIA is worth as a multiple of revenue, I respond by asking about their firm’s EBITDA margin. My response is largely driven by the math behind the enterprise value.

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Brookfield Infrastructure Announces the Acquisition of Colonial Enterprises

Benzinga

("BIP") (NYSE: BIP , TSX: BIP ) and its institutional partners (collectively, "Brookfield Infrastructure") reached a definitive agreement to acquire 100% of the world-class midstream asset portfolio Colonial Enterprises ("Colonial"), which includes the Colonial Pipeline, for an enterprise value of approximately $9 billion or 9x EBITDA.