Market price or asking price |
£5,260,417,013 |
Loans from lenders at LTV 70% with interest rate at 5% for 10 years |
£3,682,291,909 |
30% Cash provided from buyer |
£1,578,125,104 |
Average revenue over the period |
£17,092,079,245 |
Estimated operating profit margin (%) |
3.1 |
Average operating profit over the period |
£529,854,457 |
- Less average acquisition interest expenses over the period |
£108,644,458 |
Average profit before tax |
£421,209,999 |
- Less corporate income tax at 21.4% |
£90,138,940 |
Average profit after tax |
£331,071,059 |
+ Add average depreciation over the period |
£483,334,522 |
+ Add average amortization over the period |
£0 |
+ Add average acquisition interest expenses over the period |
£108,644,458 |
Average net cash flow after tax |
£923,050,038 |
- Less average capex over the period |
£295,011,012 |
Average net cash flow before debt service |
£628,039,026 |
- Less cash flow safety cushion required |
£157,812,510 |
Net cash flow available for debt service |
£470,226,516 |
Maximum loan that can be supported by cash flow |
£3,630,964,513 |
Value of company operations (£3,630,964,513 / 70%) |
£5,187,092,162 |
+ Add cash & cash equivalents |
£2,492,000,000 |
- Less total interest-bearing debts |
£6,236,000,000 |
Business intrinsic value |
£1,443,092,162 |
Business intrinsic value per share |
£1.35 |