Market price or asking price |
£5,645,027,101 |
Loans from lenders at LTV 70% with interest rate at 5% for 10 years |
£3,951,518,971 |
30% Cash provided from buyer |
£1,693,508,130 |
Average revenue over the period |
£17,533,173,565 |
Estimated operating profit margin (%) |
3.3 |
Average operating profit over the period |
£578,594,728 |
- Less average acquisition interest expenses over the period |
£116,587,888 |
Average profit before tax |
£462,006,840 |
- Less corporate income tax at 29% |
£133,981,984 |
Average profit after tax |
£328,024,856 |
+ Add average depreciation over the period |
£483,626,170 |
+ Add average amortization over the period |
£0 |
+ Add average acquisition interest expenses over the period |
£116,587,888 |
Average net cash flow after tax |
£928,238,914 |
- Less average capex over the period |
£260,760,656 |
Average net cash flow before debt service |
£667,478,259 |
- Less cash flow safety cushion required |
£169,350,813 |
Net cash flow available for debt service |
£498,127,446 |
Maximum loan that can be supported by cash flow |
£3,846,408,096 |
Value of company operations (£3,846,408,096 / 70%) |
£5,494,868,709 |
+ Add cash & cash equivalents |
£2,218,000,000 |
- Less total interest-bearing debts |
£5,995,000,000 |
Business intrinsic value |
£1,717,868,709 |
Business intrinsic value per share |
£1.60 |