Market price or asking price |
£2,725,721,281 |
Loans from lenders at LTV 70% with interest rate at 5% for 10 years |
£1,908,004,897 |
30% Cash provided from buyer |
£817,716,384 |
Average revenue over the period |
£14,986,030,637 |
Estimated operating profit margin (%) |
1.6 |
Average operating profit over the period |
£239,776,490 |
- Less average acquisition interest expenses over the period |
£56,294,874 |
Average profit before tax |
£183,481,617 |
- Less corporate income tax at 16.2% |
£29,724,022 |
Average profit after tax |
£153,757,595 |
+ Add average depreciation over the period |
£466,054,346 |
+ Add average amortization over the period |
£0 |
+ Add average acquisition interest expenses over the period |
£56,294,874 |
Average net cash flow after tax |
£676,106,815 |
- Less average capex over the period |
£352,115,970 |
Average net cash flow before debt service |
£323,990,844 |
- Less cash flow safety cushion required |
£81,771,638 |
Net cash flow available for debt service |
£242,219,206 |
Maximum loan that can be supported by cash flow |
£1,870,352,503 |
Value of company operations (£1,870,352,503 / 70%) |
£2,671,932,147 |
+ Add cash & cash equivalents |
£3,883,000,000 |
- Less total interest-bearing debts |
£6,321,000,000 |
Business intrinsic value |
£233,932,147 |
Business intrinsic value per share |
£0.20 |