Tesco Case Study – EV & Debt Capacity Model

This Excel workbook allows you to explore how Enterprise Value (EV) maps into Debt Capacity in a leveraged buyout (LBO) context. It walks through credit metrics, LBO leverage constraints, and value back-solving to understand how much debt a sponsor could reasonably raise for the acquisition.

📈 What This Model Covers

• EV to Implied Debt Capacity under different credit metrics
• Leveraging EBITDA multiples to reverse-engineer max debt size
• Sensitivity tables for Net Debt / EBITDA, Interest Cover, and EV/EBITDA

Insight: This is the foundation of LBO financing—how much debt can be safely raised, without breaching lender thresholds.

🔍 Access the Model

🔗 Related Modules

Debt Capacity AnalysisEnterprise Value (EV) Analysis

🏷️ Tags: #EVBridge #DebtCapacity #LBOModel #TescoCaseStudy #PrivateEquity #CreditMetrics #FinancialModelling