Merger Model

In this step we make adjustments to the combined company's balance sheet based on purchase accounting adjustments previously modeled in the "GAAP" tab....

When we allocate the purchase price to the acquired net assets, we usually write-up the value of the tangible and intangible assets acquired. This results...

Let's now determine whether the transaction is accretive or dilutive for various transaction prices per TargetCo share assuming an all-cash transactio...

We begin the DCF analaysis by computing unlevered free cash flow. See the discussion of unlevered free cash flow in the valuation section for more detail...

We will now perform the DCF valuation using the terminal EBITDA multiple method and calculate the implied perpetuity growth rate. To make our model more...

Now, we finish the DCF analysis by applying the perpetuity growth method and calculate the implied terminal EBITDA multiples.