Market price or asking price |
£5,583,539,272 |
Loans from lenders at LTV 70% with interest rate at 5% for 10 years |
£3,908,477,490 |
30% Cash provided from buyer |
£1,675,061,782 |
Average revenue over the period |
£17,533,173,565 |
Estimated operating profit margin (%) |
3.2 |
Average operating profit over the period |
£561,061,554 |
- Less average acquisition interest expenses over the period |
£115,317,967 |
Average profit before tax |
£445,743,587 |
- Less corporate income tax at 29% |
£129,265,640 |
Average profit after tax |
£316,477,947 |
+ Add average depreciation over the period |
£483,626,170 |
+ Add average amortization over the period |
£0 |
+ Add average acquisition interest expenses over the period |
£115,317,967 |
Average net cash flow after tax |
£915,422,084 |
- Less average capex over the period |
£260,760,656 |
Average net cash flow before debt service |
£654,661,428 |
- Less cash flow safety cushion required |
£167,506,178 |
Net cash flow available for debt service |
£487,155,250 |
Maximum loan that can be supported by cash flow |
£3,761,683,712 |
Value of company operations (£3,761,683,712 / 70%) |
£5,373,833,875 |
+ Add cash & cash equivalents |
£2,218,000,000 |
- Less total interest-bearing debts |
£5,637,000,000 |
Business intrinsic value |
£1,954,833,875 |
Business intrinsic value per share |
£1.82 |