BUY THE ORIGINAL DOCUMENT TEMPLATE: http://www.gazhoo.com
Private Equity Buy-side Valuation Model
Target Company Acquisition Pricing
To use this valuation model type in data in the fields with blue text and numbers
Table of Contents
Summary Table
1
* Income Statement
* Balance Sheet
* Cashflow Statement
* Profitability Ratios
* Liquidity Ratios
* Financing
Cap Table
2
Key Financing Assumptions (Assump-F)
3
Acquisition Terms
Acquisition Capital Structure
Cost of Capital
Leveraged Debt Financing Terms
Taxation
Currency & Interest Assumption
Future Financing Assumptions
Entry Valuation
Exit Market Valuation
Key Operating Assumptions (Assump-O)
4
Upside Cas
Base Case
Downside Case
Income Statement (P&L)
5
Balance Sheet (BS)
6
Cashflow Statement (CFS)
7
Capex & Depreciation (Depr)
8
Intangibles Schedule (Amort)
9
Debt Schedule (Debt)
10
5-Year Free Cashflow Analysis (DCF)
11
IRR Analysis (IRR)
12
Valuation Using Comparable (Comparables)
13
Valuation Using VC Method (VC Method)
14
Control Page - General Model Information (Controls)
15

BUY THE ORIGINAL DOCUMENT TEMPLATE: http://www.gazhoo.com
Upside Case
Projected Fiscal Year Ending March 31,
(USD$ in thousands, Except per Share Data) 2000 2001 2002 2003 2004 2005 2006
Income Statement
Revenues $45,000 $65,000 $71,500 $80,080 $89,690 $100,452 $112,507
Gross Profit $15,000 $30,000 $39,325 $45,646 $52,917 $60,271 $67,504
EBITDA $4,650 $15,050 $22,165 $25,626 $30,494 $35,158 $39,377
EBIT $2,743 $11,479 $13,199 $13,341 $16,350 $25,433 $29,684
Net Income $2,243 $6,250 $10,668 $10,915 $13,472 $21,193 $24,806
Balance Sheet
Total Assets $16,507 $38,171 $62,493 $75,551 $91,384 $115,384 $143,539
Current Liabilities $4,845 $14,474 $20,600 $22,743 $25,104 $27,910 $31,259
Debt $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000
Total Liabilities $9,845 $19,474 $25,600 $27,743 $30,104 $32,910 $36,259
Total Equity $6,662 $18,697 $36,893 $47,808 $61,280 $82,474 $107,280
Cashflow
Cash Inflow/(Outflow) from Operation $20,297 $23,146 $27,565 $30,828 $34,357
Cash Inflow/(Outflow) from Investing ($19,050) ($7,500) ($7,950) ($8,800) ($10,000)
Cash Inflow/(Outflow) from Financing $7,528 $0 $0 $0 $0
Net Cash Inflow/(Outflow) $8,775 $15,646 $19,615 $22,028 $24,357
Opening Cash Balance $2,500 $11,275 $26,921 $46,536 $68,564
Closing Cash Balance $11,275 $26,921 $46,536 $68,564 $92,921
Inc. (Dec.) in Net Working Capital $664 ($53) ($52) ($91) ($143)
Capital Expenditures $19,050 $7,500 $7,950 $8,800 $10,000
Free Cash Flow $1,247 $15,646 $19,615 $22,028 $24,357
Projected Fiscal Year Ending March 31,
Key Financial Ratios 2000 2001 2002 2003 2004 2005 2006
Profitability
Revenue Growth NA 44.4% 10.0% 12.0% 12.0% 12.0% 12.0%
Gross Margin 33.3% 46.2% 55.0% 57.0% 59.0% 60.0% 60.0%
EBITDA Margin 10.3% 23.2% 31.0% 32.0% 34.0% 35.0% 35.0%
EBIT Margin 6.1% 17.7% 18.5% 16.7% 18.2% 25.3% 26.4%
Net Income Margin 6.1% 17.7% 18.5% 16.7% 18.2% 25.3% 26.4%
EBIT / Total Assets [pre-tax ROA] 16.6% 30.1% 21.1% 17.7% 17.9% 22.0% 20.7%
EBIT (1-Tax) / Total Assets [ROA] -- 17.1% 17.7% 15.0% 15.2% 18.7% 17.6%
Net Income / Book Value of Equity [ROE] -- 33.4% 28.9% 22.8% 22.0% 25.7% 23.1%
Liquidity
Current Ratio 2.4 1.3 1.6 2.2 2.9 3.5 4.0
Quick Ratio 0.6 0.3 0.6 1.3 2.0 2.6 3.1
Days Sales in Receivables 7.3 9.6 10.0 10.0 10.0 10.0 10.0
Days COGS in Payables 30.4 31.3 75.0 75.0 75.0 75.0 75.0
Days COGS in Inventory 29.7 66.9 90.0 90.0 90.0 90.0 90.0
Financing
Total Debt / Total Capitalization 0.3x 0.1x 0.1x 0.1x 0.1x 0.0x 0.0x
EBITDA / Net Interest 9.3x 30.1x 44.3x 51.3x 61.0x 70.3x 78.8x
EBIT / Net Interest 5.5x 23.0x 26.4x 26.7x 32.7x 50.9x 59.4x
(EBITDA - CapEx) / Net Interest 9.3x 30.1x 6.2x 36.3x 45.1x 52.7x 58.8x
Net Debt / Net Capitalization 0.3x 0.1x NA NA NA NA NA
2.1x 1.3x NA NA NA NA NA
Net Debt / EBITDA

BUY THE ORIGINAL DOCUMENT TEMPLATE: http://www.gazhoo.com
Company ABC
Cap Table
Existing Shareholders '000 of shares % Shareholding % Shareholding Amount Raised Date Equity Valuation
(Pre) (Post) $'000 (Post) $'000
A 1,406 29.9% 24.9%
B 1000 21.2% 17.7%
C 500 10.6% 8.9%
D 1500 31.9% 26.6%
E 300 6.4% 5.3%
4,706 100.0% 83.3% 2,000 31/03/1995 2,000
New shareholders
<Enter your company name here> 941 16.7%
Co-investor X 0 0.0%
941 16.7% 7,528 31/03/2001 45,176
5,647 100.0%

BUY THE ORIGINAL DOCUMENT TEMPLATE: http://www.gazhoo.com
Company ABC
Key Financial Assumptions
Upside Case
(USD$ in thousands, Except per Share Data)
Acquisition Terms Leveraged Debt Financing Terms Entry Valuation
Shares to be Acquired Primary Secondary Leveraged Debt Amount 0 Valuation (Acquisition Price / Stake) 45,176
Number of Shares ('000) 941 0 Maturity (years) 0 Current Year Prospective
Price per Share 8.00 Repayment (0 Bullet / 1 Amortizing) 1 Price to Earnings 7.23 4.23
Cost of Shares 7,528 0 Prepayment Penalty None Price to EBITDA 3.00 2.04
Common Shares Outstanding (post) 5,647 Base Rate 10 years Treasury Bond 7.00% Price to Sales Revenue 0.70 0.63
Acquisition Stake 16.66% Spread 3.00% Price to Book Value 2.42 1.22
Acquisition Price 7,528 Interest Rate 10.00% Price per Customer N/A N/A
Transaction Fees 0 Arrangement Fee 0.0
Assumed Liabilities (Existing Debt) 0 Exit Market Valuation
Total Acquisition Cost 7,528 Taxation
Price to Earnings 10.00
Acquisition Capital Structure Corporate Tax Rate (average, effective) 19.85% Price to EBITDA 5.00
Withholding Tax Rate (if applicable) 0.00% Price to Sales Revenue 1.00
Equity Investment 100.00% 7,528 Price to Book Value n.a.
Leveraged Debt 0.00% 0 Currency & Interest Rate Assumption Price per Customer n.a.
Total 100.00% 7,528
Leverage (Debt / Equity) 0.00 Base Currency USD$
Long Term 10 year Treasury Bond 7.00%
Cost of Capital Long Term Credit Spread 1.00%
Long Term Discount Rate 8.00%
Industry Beta (unlevered) 0.80
Risk Free Rate (10 year Treasury Bond) 7.0% Future Financing Assumption
Equity Risk Premium 7.50%
Cost of Equity 13.00% % financed by new debt 15%
Debt-to-Capitalization 15.0% % by new equity 85%
Equity-to-Capitalization 85.0%
WACC 12.0%
Adjust for illiquidity/small company 15.0%
Adjusted WACC 27.0%

Company ABC
Key Operating Assumptions ORIGINAL DOCUMENT TEMPLATE: http://www.gazhoo.com
BUY THE
Upside Case
Projected Fiscal Year Ending March 31,
(USD$ in thousands, Except per Share Data) ### 2000 2001 2002 2003 2004 2005 2006
Revenue Growth Rate - Product A -- -- 44.4% 10.0% 12.0% 12.0% 12.0% 12.0%
COGS (excl. Deprec.) / Revenue - Product A ### 66.7% 53.8% 45.0% 43.0% 41.0% 40.0% 40.0%
SG&A / Revenue ### 8.0% 8.0% 10.0% 11.0% 11.0% 11.0% 11.0%
Other Operating Exp / Revenue ### 15.0% 15.0% 14.0% 14.0% 14.0% 14.0% 14.0%
Minority % Interest in Total Income ### 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0%
Effective Tax Rate ### -- 43.1% 16.0% 15.0% 15.0% 15.0% 15.0%
Days Sales in Receivables ### 7.3 9.6 10.0 10.0 10.0 10.0 10.0
Days COGS in Inventory ### 29.7 66.9 90.0 90.0 90.0 90.0 90.0
Other Current Assets / Revenues ### 13.3% 12.3% 16.4% 16.4% 16.4% 16.4% 16.4%
Days COGS in Payables ### 30.4 31.3 75.0 75.0 75.0 75.0 75.0
Other Current Liabilities / Revenues ### 5.2% 17.7% 19.6% 19.6% 19.6% 19.6% 19.6%
Increase in Other Long-Term Assets -- $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0
Increase in Other Long-Term Liabilities 0.0 0.0 0.0 0.0 0.0 0.0 0.0
--
1 Upside Case
(1=Base Case, 2=Upside Case, 3=Downside Case)
Projected Year Ending December 31,
Upside Case ### 2000 2001 2002 2003 2004 2005 2006
Revenue Growth Rate - Product A -- -- 44.4% 10.0% 12.0% 12.0% 12.0% 12.0%
COGS (excl. Deprec.) / Revenue - Product A ### 66.7% 53.8% 45.0% 43.0% 41.0% 40.0% 40.0%
SG&A / Revenue ### 8.0% 8.0% 10.0% 11.0% 11.0% 11.0% 11.0%
Other Operating Exp. (Inc.) / Revenues ### 15.0% 15.0% 14.0% 14.0% 14.0% 14.0% 14.0%
Minority % Interest in Total Income ### 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0%
Effective Tax Rate ### -- 43.1% 16.0% 15.0% 15.0% 15.0% 15.0%
Days Sales in Receivables ### 7.3 9.6 10.0 10.0 10.0 10.0 10.0
Days COGS in Inventory ### 29.7 66.9 90.0 90.0 90.0 90.0 90.0
Other Current Assets / Revenues ### 13.3% 12.3% 16.4% 16.4% 16.4% 16.4% 16.4%
Days COGS in Payables ### 30.4 31.3 75.0 75.0 75.0 75.0 75.0
Other Current Liabilities / Revenues ### 5.2% 17.7% 19.6% 19.6% 19.6% 19.6% 19.6%
Increase in Other Long-Term Assets -- $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0
--
Increase in Other Long-Term Liabilities 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Projected Year Ending December 31,
Base Case ### 2000 2001 2002 2003 2004 2005 2006
Revenue Growth Rate - Product A -- -- 44.4% 10.0% 12.0% 12.0% 12.0% 12.0%
COGS (excl. Deprec.) / Revenue - Product A ### 66.7% 53.8% 30.0% 27.0% 30.0% 30.0% 30.0%
Revenue Growth Rate - Product A ### 8.0% 8.0% 10.0% 11.0% 11.0% 11.0% 11.0%
Other Operating Exp. (Inc.) / Revenues ### 15.0% 15.0% 14.0% 14.0% 14.0% 14.0% 14.0%
Minority % Interest in Total Income ### 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0%
Effective Tax Rate ### -- 43.1% 16.0% 15.0% 15.0% 15.0% 15.0%
Days Sales in Receivables ### 7.3 9.6 10.0 10.0 10.0 10.0 10.0
Days COGS in Inventory ### 29.7 66.9 90.0 90.0 90.0 90.0 90.0
Other Current Assets / Revenues ### 13.3% 12.3% 16.4% 16.4% 16.4% 16.4% 16.4%
Days COGS in Payables ### 30.4 31.3 75.0 75.0 75.0 75.0 75.0
Other Current Liabilities / Revenues ### 5.2% 17.7% 19.6% 19.6% 19.6% 19.6% 19.6%
Increase in Other Long-Term Assets -- $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0
--
Increase in Other Long-Term Liabilities 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Projected Year Ending December 31,
Downside Case ### 2000 2001 2002 2003 2004 2005 2006
Revenue Growth Rate - Product A -- -- 44.4% 10.0% 5.0% 5.0% 5.0% 5.0%
COGS (excl. Deprec.) / Revenue - Product A ### 66.7% 53.8% 60.0% 60.0% 65.0% 65.0% 65.0%
Revenue Growth Rate - Product A ### 8.0% 8.0% 10.0% 12.0% 13.0% 14.0% 15.0%
Other Operating Exp. (Inc.) / Revenues ### 15.0% 15.0% 15.0% 15.0% 15.0% 15.0% 15.0%
Minority % Interest in Total Income ### 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0%
Effective Tax Rate ### -- 43.1% 16.0% 15.0% 15.0% 15.0% 15.0%
Days Sales in Receivables ### 7.3 9.6 10.0 10.0 10.0 10.0 10.0
Days COGS in Inventory ### 29.7 66.9 90.0 90.0 90.0 90.0 90.0
Other Current Assets / Revenues ### 13.3% 12.3% 16.4% 16.4% 16.4% 16.4% 16.4%
Days COGS in Payables ### 30.4 31.3 75.0 75.0 75.0 75.0 75.0
Other Current Liabilities / Revenues ### 5.2% 17.7% 19.6% 19.6% 19.6% 19.6% 19.6%
Increase in Other Long-Term Assets -- $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0
--
Increase in Other Long-Term Liabilities 0.0 0.0 0.0 0.0 0.0 0.0 0.0

15/08/2007 * 4:41 PM
Company ABC
BUY THE ORIGINAL DOCUMENT TEMPLATE: http://www.gazhoo.com
Income Statement
Upside Case
Projected Fiscal Year Ending March 31,
2000 2001 2002 2003 2004 2005 2006
(USD$ in thousands, Except per Share Data)
Revenue
Product A 45,000.0 65,000.0 71,500.0 80,080.0 89,689.6 100,452.4 112,506.6
Product B 0.0 0.0
Product C 0.0 0.0
Total Revenue $45,000.0 $65,000.0 $71,500.0 $80,080.0 $89,689.6 $100,452.4 $112,506.6
COGS
Product A $30,000.0 $35,000.0 $32,175.0 $34,434.4 $36,772.7 $40,180.9 $45,002.7
Product B 0.0 0.0
Product C 0.0 0.0
Total COGS $30,000.0 $35,000.0 $32,175.0 $34,434.4 $36,772.7 $40,180.9 $45,002.7
$39,325.0 $45,645.6 $52,916.9 $60,271.4 $67,504.0
Gross Profit $15,000.0 $30,000.0
33.3% 46.2% 55.0% 57.0% 59.0% 60.0% 60.0%
Gross Margin
SG&A 3,600.0 5,200.0 7,150.0 8,808.8 9,865.9 11,049.8 12,375.7
Others Operating Expenses 6,750.0 9,750.0 10,010.0 11,211.2 12,556.5 14,063.3 15,750.9
EBITDA (Operating Cash Flow) $4,650.0 $15,050.0 $22,165.0 $25,625.6 $30,494.5 $35,158.3 $39,377.3
10.3% 23.2% 31.0% 32.0% 34.0% 35.0% 35.0%
EBITDA Margin
Depreciation 1,907.1 3,571.0 8,965.5 12,284.3 14,144.5 9,725.0 9,693.8
Amortization of Intangibles 0.0 0.0 0.0 0.0 0.0 0.0 0.0
EBIT (Operating Income) $2,742.9 $11,479.0 $13,199.5 $13,341.3 $16,349.9 $25,433.3 $29,683.6
6.1% 17.7% 18.5% 16.7% 18.2% 25.3% 26.4%
EBIT (Operating) Margin
Other Expenses (Income):
Interest Income 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Interest Expense 500.0 500.0 500.0 500.0 500.0 500.0 500.0
Pre-Tax Income $2,242.9 $10,979.0 $12,699.5 $12,841.3 $15,849.9 $24,933.3 $29,183.6
Income Taxes 0.0 4,729.4 2,031.9 1,926.2 2,377.5 3,740.0 4,377.5
Net Income $2,242.9 $6,249.6 $10,667.6 $10,915.1 $13,472.5 $21,193.3 $24,806.0
Minority Interest in Net Income 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Adjusted Net Income $2,242.9 $6,249.6 $10,667.6 $10,915.1 $13,472.5 $21,193.3 $24,806.0
Preferred Dividends 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Net Income to Common $2,242.9 $6,249.6 $10,667.6 $10,915.1 $13,472.5 $21,193.3 $24,806.0
Extraordinary Charges (Income) 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Adjusted Net Income to Common $2,242.9 $6,249.6 $10,667.6 $10,915.1 $13,472.5 $21,193.3 $24,806.0

15/08/2007 * 4:41 PM
Company ABC
BUY THE ORIGINAL DOCUMENT TEMPLATE: http://www.gazhoo.com
Balance Sheet
Upside Case
Projected Fiscal Year Ending March 31,
2000 2001 2002 2003 2004 2005 2006
(USD$ in thousands, Except per Share Data)
Cash and Equivalents $2,157.2 $2,500.0 $11,274.9 $26,920.9 $46,535.9 $68,563.7 $92,920.7
Accounts Receivable 901.0 1,717.8 1,958.9 2,194.0 2,457.2 2,752.1 3,082.4
Inventory 2,442.6 6,413.3 7,933.6 8,490.7 9,067.2 9,907.6 11,096.5
Prepaid Expenses 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Other Current Assets 6,000.0 8,000.0 11,701.5 13,105.7 14,678.4 16,439.8 18,412.6
Total Current Assets ` 11,501 18,631 32,869 50,711 72,739 97,663 125,512
Net Property, Plant & Equipment 5,006.2 19,539.8 29,624.3 24,840.0 18,645.5 17,720.5 18,026.8
Intangible Assets 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Other Long-Term Assets 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Total Assets 16,507 38,171 62,493 75,551 91,384 115,384 143,539
Payables $2,500.0 $3,000.0 $6,611.3 $7,075.6 $7,556.0 $8,256.4 $9,247.1
Deposits Received $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0
Other Current Liabilities 2,345.2 11,473.8 13,989.2 15,667.9 17,548.0 19,653.8 22,012.3
Total Current Liabilities 4,845 14,474 20,600 22,743 25,104 27,910 31,259
Term loan 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Other Debt 5,000.0 5,000.0 5,000.0 5,000.0 5,000.0 5,000.0 5,000.0
Total Debt 5,000 5,000 5,000 5,000 5,000 5,000 5,000
Deferred Taxes 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Minority Interest ` 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Other Long-Term Liabilities 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Total Liabilities 9,845 19,474 25,600 27,743 30,104 32,910 36,259
Share Capital 163.2 206.7 206.7 206.7 206.7 206.7 206.7
Share Premium 9,944.8 9,944.8 9,944.8 9,944.8 9,944.8 9,944.8 9,944.8
Additional Equity 7,528.0 7,528.0 7,528.0 7,528.0 7,528.0
Convertible Preferred Stock 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Common Stockholders' Equity (3,446.2) 8,545.7 19,213.3 30,128.4 43,600.8 64,794.2 89,600.2
6,661.8 18,697.2 36,892.8 47,807.9 61,280.3 82,473.7 107,279.7
Total Equity
Total Liabilities & Equity 16,507.0 38,171.0 62,493.3 75,551.3 91,384.4 115,383.8 143,539.1
Balance Check 0 0 0 0 0 0 0

15/08/2007 * 4:41 PM
Company ABC
BUY THE ORIGINAL DOCUMENT TEMPLATE: http://www.gazhoo.com
Cash Flow Statement
Upside Case
Projected Fiscal Year Ending March 31,
1999 2000 2001 2002 2003 2004 2005 2006 2008 2009 2010 2011
(USD$ in thousands, Except per Share Data)
Net Income to Common #REF! $2,242.9 $6,249.6 $10,667.6 $10,915.1 $13,472.5 $21,193.3 $24,806.0 #REF! #REF! #REF! #REF!
Depreciation 0.0 1,907.1 3,571.0 8,965.5 12,284.3 14,144.5 9,725.0 9,693.8 0.0 0.0 0.0 0.0
Amortization of Intangibles 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Non-Cash Interest Expense 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 #REF! #REF! #REF! #REF!
Increase in Deferred Taxes -- -- -- 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Minority Interest in Net Income 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Gain on Disposal of Fixed Asset (from Other Non Op Inc.) 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Funds From Operations 19,633 23,199 27,617 30,918 34,500 #REF! #REF! #REF! #REF!
(Inc.) Dec. in Acct. Rec. (241.1) (235.1) (263.3) (294.9) (330.3) 0.0 0.0 0.0 0.0
(Inc.) Dec. in Inventory (1,520.3) (557.1) (576.6) (840.4) (1,188.9) 0.0 0.0 0.0 0.0
(Inc.) Dec. in Prepaid Expenses 0.0 0.0 0.0 0.0 0.0
(Inc.) Dec. in Other Current Assets (3,701.5) (1,404.2) (1,572.7) (1,761.4) (1,972.8) 0.0 0.0 0.0 0.0
Inc. (Dec.) in Account Payables 3,611.3 464.3 480.5 700.3 990.8
Inc. (Dec.) in Other Current Liabilities 2,515.4 1,678.7 1,880.1 2,105.8 2,358.5 0.0 0.0 0.0 0.0
Inc. (Dec.) in Net Working Capital 664 -53 -52 -91 -143
Cash Flow From Operations 20,297 23,146 27,565 30,828 34,357 #REF! #REF! #REF! #REF!
Capex (19,050.0) (7,500.0) (7,950.0) (8,800.0) (10,000.0)
Maintenance Capex 0.0 0.0 0.0 0.0 0.0
Investments 0.0 0.0 0.0 0.0 0.0
Proceeds from Disposals 0.0 0.0 0.0 0.0 0.0
Free Cash Flow 1,247 15,646 19,615 22,028 24,357
ST Debt Issuance (Repay.) 0.0 0.0 0.0 0.0 0.0
Exist. Debt Issuance (Repay.) 0.0 0.0 0.0 0.0 0.0
Debt Issuance (Repayments) 0 0 0 0 0 0.0 0.0 0.0 0.0
Common Stock Dividends 0.0 0.0 0.0 0.0 0.0 #REF! #REF! #REF! #REF!
Convert. Preferred Issuance -- -- -- 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Equity (Reduction) Issuance 0.0 0.0 0.0 7,528.0 0.0 0.0 0.0 0.0 #REF! #REF! #REF! #REF!
Other -- 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Change in Cash and Equivalents $0.0 $0.0 $0.0 8,775 15,646 19,615 22,028 24,357 #REF! #REF! #REF! #REF!
Beginning Cash and Equivalents 0.0 0.0 2,157.2 2,500.0 11,274.9 26,920.9 46,535.9 68,563.7 0.0 0.0 0.0 0.0
Ending Cash and Equivalents 2,500.0 11,275 26,921 46,536 68,564 92,921 #REF! #REF! #REF! #REF!
-- -- -- --
-- -- -- --
Financing required 0.0 0.0 0.0 0.0 0.0 -- -- -- --
Financed by debt 15% 0.0 0.0 0.0 0.0 0.0 -- -- -- --
-- -- -- --
Financed by equity 85% 0.0 0.0 0.0 0.0 0.0

Company ABC
CapEx and Depreciation Schedule BUY THE ORIGINAL DOCUMENT TEMPLATE: http://www.gazhoo.com
Upside Case
Projected Fiscal Year Ending March 31,
1999 2000 2001 2002 2003 2004 2005 2006 2007 2008
(USD$ in thousands, Except per Share Data)
Beginning Net PP&E $19,539.8 $29,624.3 $24,840.0 $18,645.5 $17,720.5 $18,026.8 #VALUE!
Capital Expenditures 19,050.0 7,500.0 7,950.0 8,800.0 10,000.0 0.0 #REF!
Depreciation (8,965.5) (12,284.3) (14,144.5) (9,725.0) (9,693.8) #VALUE! #VALUE!
Ending Net PP&E $19,539.8 $29,624.3 $24,840.0 $18,645.5 $17,720.5 $18,026.8 #VALUE! #VALUE!
Capital Expenditures
$500.0 $500.0 $1,500.0 $1,600.0 $1,700.0 $1,800.0 $2,500.0
Plant A
$600.0 $600.0 $1,550.0 $1,700.0 $1,850.0 $2,000.0 $2,500.0
Plant B
$1,000.0 $1,000.0 $6,000.0 $2,200.0 $2,400.0 $3,000.0 $3,000.0
Plant C
$1,000.0 $1,000.0 $10,000.0 $2,000.0 $2,000.0 $2,000.0 $2,000.0
Plant D
Total Capital Expenditure $3,100.0 $3,100.0 $19,050.0 $7,500.0 $7,950.0 $8,800.0 $10,000.0 $0.0 #REF!
Capital Expenditure / Total Revenues 6.89% 4.77% 26.64% 9.37% 8.86% 8.76% 8.89%
Book Depreciation
Existing PP&E Life 3.0 Years Salvage Value $0.0 New CapEx Life 4.0 Years
Times Declining 1.0x Land / Non-Depreciable Item 0.0 Times Declining 1.0x
Existing Net PP&E $19,539.8 $6,584.3 $6,584.3 $6,513.3 $0.0 $0.0 $0.0 $0.0
2002 $19,050.0 $2,381.3 $4,762.5 $4,762.5 $4,762.5 $2,381.3 $0.0 $0.0
7,500.0 $937.5 $1,875.0 $1,875.0 $1,875.0 937.5 0.0
2003
7,950.0 $993.8 $1,987.5 $1,987.5 1,987.5 993.8
2004
8,800.0 $1,100.0 $2,200.0 2,200.0 2,200.0
2005
10,000.0 $1,250.0 2,500.0 2,500.0
2006
0.0 0.0 0.0
2007
0.0 0.0
2008
0.0
2009
0.0
2010
0.0
2011
Total Book Depreciation Expense $8,965.5 $12,284.3 $14,144.5 $9,725.0 $9,693.8

Company ABC
BUY THE ORIGINAL DOCUMENT TEMPLATE: http://www.gazhoo.com
Intangibles Schedule
Upside Case
Projected Fiscal Year Ending March 31,
2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011
(USD$ in thousands, Except per Share Data)
Book Amortization
Intangibles 0 Years $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0
Intangible 2 0 Years 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Intangible 3 0 Years 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Intangible 4 0 Years 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Total Book Intangibles $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0
Amortization of Intangibles $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0
Amortization of Intangible 2 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Amortization of Intangible 3 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Amortization of Intangible 4 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Total Book Amortization of Intangibles $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0
Tax Amortization
Intangibles 40 Years ($0 = Non Tax-Deductible) $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0
Intangible 2 0 Years 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Intangible 3 0 Years 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Intangible 4 0 Years 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Total Tax Intangibles $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0
Tax Amortization of Intangibles $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0
Tax Amortization of Intangible 2 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Tax Amortization of Intangible 3 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Tax Amortization of Intangible 4 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Total Tax Deductible Amortization of Intangibles $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0

BUY THE ORIGINAL DOCUMENT TEMPLATE: http://www.gazhoo.com
Company ABC
Debt Schedule
Upside Case
Projected Fiscal Year Ending March 31,
(Amounts in US$ 000s) Effective interest rate
2002 2003 2004 2005 2006
NEW BORROWINGS A
Opening balance $0 $0 $0 $0 $0
Additions 0 0 0 0 0
Repayments 0 0 0 0 0
Ending balance $0 $0 $0 $0 $0
Interest payment $0 $0 $0 $0 $0 10.00%
Total debt service (Interest+Principal) $0 $0 $0 $0 $0
TERM LOAN B
Opening balance $5,000 $5,000 $5,000 $5,000 $5,000
Additions 0 0 0 0 0
Repayments 0 0 0 0 0
Ending balance $5,000 $5,000 $5,000 $5,000 $5,000
Interest payment $500 $500 $500 $500 $500 10.00%
Total debt service (Interest+Principal) $500 $500 $500 $500 $500
TERM LOAN C
Opening balance $0 $0 $0 $0 $0
Additions 0 0 0 0 0
Repayments 0 0 0 0 0
Ending balance $0 $0 $0 $0 $0
Interest payment 0 0 0 0 0 10.00%
Total debt service (Interest+Principal) $0 $0 $0 $0 $0
TOTAL
Opening Balance $5,000 $5,000 $5,000 $5,000 $5,000
Ending Balance $5,000 $5,000 $5,000 $5,000 $5,000
Total interest paid $500 $500 $500 $500 $500

BUY THE ORIGINAL DOCUMENT TEMPLATE: http://www.gazhoo.com
Company ABC
Five Year Free Cash Flow Analysis
Upside Case
Terminal EBITDA Multiple Approach
Projected Fiscal Year Ending March 31,
2002 2003 2004 2005 2006
US$ in thousands
Net Income $10,667.6 $10,915.1 $13,472.5 $21,193.3 $24,806.0 1
Net Interest Expense / (Income) 500.0 500.0 500.0 500.0 500.0
Marginal Tax Rate 16.0% 15.0% 15.0% 15.0% 15.0%
Financing Tax Shield (80.0) (75.0) (75.0) (75.0) (75.0)
Minority Interest in Net Income 0.0 0.0 0.0 0.0 0.0
Earnings Before Interest $11,087.6 $11,340.1 $13,897.5 $21,618.3 $25,231.0
Depreciation and Amortization 8,965.5 12,284.3 14,144.5 9,725.0 9,693.8
Amortization of Intangibles 0.0 0.0 0.0 0.0 0.0
Increase in Deferred Taxes 0.0 0.0 0.0 0.0 0.0
Change in Net Working Capital 663.8 (53.4) (51.9) (90.6) (142.7)
Capital Expenditures (19,050.0) (7,500.0) (7,950.0) (8,800.0) (10,000.0)
Unlevered Free Cash Flow $1,666.9 $16,071.0 $20,040.1 $22,452.7 $24,782.1
Terminal EBITDA $39,377.3
Terminal Adjusted Free Cash Flow $25,088.3
Terminal EBITDA Multiple Range Terminal EBITDA Multiple Range
4.0x 4.5x 5.0x 5.5x 6.0x 4.0x 4.5x 5.0x 5.5x 6.0x
Terminal Value Implied Terminal P/E Multiple
$157,509 $177,198 $196,887 $216,575 $236,264 9.9x 10.7x 11.5x 12.3x 13.1x
WACC Present Value of Firm Value WACC Equity Value as of 3/31/01
26.0% $87,737 $93,934 $100,130 $106,327 $112,524 26.0% $85,237 $91,434 $97,630 $103,827 $110,024
26.5% 86,269 92,344 98,419 104,495 110,570 26.5% 83,769 89,844 95,919 101,995 108,070
27.0% 84,833 90,789 96,746 102,702 108,659 27.0% 82,333 88,289 94,246 100,202 106,159
27.5% 83,428 89,268 95,109 100,950 106,790 27.5% 80,928 86,768 92,609 98,450 104,290
28.0% 82,053 87,780 93,508 99,235 104,963 28.0% 79,553 85,280 91,008 96,735 102,463
WACC Implied Perpetuity Growth Rate WACC Terminal Value / Present Value
26.0% 8.9% 10.6% 11.9% 13.1% 14.0% 26.0% 56.5% 59.4% 61.9% 64.1% 66.1%
26.5% 9.3 11.0 12.4 13.5 14.5 26.5% 56.3% 59.2% 61.7% 64.0% 65.9%
27.0% 9.7 11.4 12.8 14.0 15.0 27.0% 56.2% 59.0% 61.6% 63.8% 65.8%
27.5% 10.2 11.9 13.3 14.4 15.4 27.5% 56.0% 58.9% 61.4% 63.6% 65.6%
28.0% 10.6 12.3 13.7 14.9 15.9 28.0% 55.8% 58.7% 61.3% 63.5% 65.5%
(a) Equity Value equals Firm Value less total straight and convertible debt, straight and convertible preferred stock and minority interest, plus cash, options and warrants proceeds and investments in unconsolidated subsidiaries.
(b) Equity Value per Share equals Equity Value divided by Diluted shares outstanding, before Treasury Stock Method share buy-back.
DCF Assumptions
Terminal Multiple Based on DCF Assumptions
Data Mid-Range Sensitivity Investment in Uncons. Subs. 0.0
1 2006 Revenue $112,506.6 1.0x 0.1x Minority Interest 0.0
2 2006 EBITDA 39,377.3 5.0 0.5 Terminal Year Net Debt ($87,920.7)
3 2006 Earnings 24,806.0 10.0 0.5 Terminal Year Net Income 24,806.0
Latest Fiscal Year End 3/31/01
Valuation Date 3/31/01
2 2006 EBITDA $39,377.3 5.0x 0.5x
Implied Days Before Valuation Date 0
Implied Days Left After Valuation Date 365

BUY THE ORIGINAL DOCUMENT TEMPLATE: http://www.gazhoo.com
Company ABC
IRR Analysis
Upside Case
US$000, except per share data
Summary Assumptions
Entry Amount $7,528.0 Exchange Rate 1.0
Net Debt @ 2006 ($87,920.7)
Current Market Price $0.00
2006E EBITDA
Premium to Market 0.0% $39,377.3
2006E Sales
Investment Price per Share $8.00 $112,506.6
941.0 Assumed Investment Date
Shares Purchased ('000) 31/03/2001
5,647.0
Total Shares Outstanding (Post)
% of New Shares Issued 16.7%
As of 3/31 2001 2002 2003 2004 2005 2006
Investment Return Calculation
2006E EBITDA Incremental financing IRR
5.0x ($7,528.0) $0.0 $0.0 $0.0 $0.0 $47,459.5 44.5%
6.0x (7,528.0) 0.0 0.0 0.0 0.0 48.3%
$54,021.2
7.0x (7,528.0) 0.0 0.0 0.0 0.0 51.8%
$60,582.9
2006E Sales
1.0x ($7,528.0) $0.0 $0.0 $0.0 $0.0 $33,398.6 34.7%
1.1x (7,528.0) 0.0 0.0 0.0 0.0 36.2%
$35,273.4
1.2x (7,528.0) 0.0 0.0 0.0 0.0 37.6%
$37,148.2
Note: Assumes no tax leakage

BUY THE ORIGINAL DOCUMENT TEMPLATE: http://www.gazhoo.com
Company ABC
Valuation Using Comparables
Upside Case
2001 ABC Peer A Peer B Peer C
(USD$ in thousands, Except per Share Data)
Balance Sheet
Total Assets 38,171 30,000 38,000 42,000
Long-term Debt 5,000 1,000 2,000 4,000
Net Worth 18,697 15,000 17,500 18,000
Income Statement
Revenues 65,000 54,000 60,000 45,000
EBITDA 15,050 36,000 38,000 34,000
Net Income 6,250 23,000 20,000 21,000
Market Data
Shares Outstandings ('000) 5,647 5,000 5,000 5,000
Share Price 8.0 30 40 55
Number of Customers 650,000 600,000 500,000 600,000
Equity Valuation/Market Cap. 45,176 150,000 200,000 275,000
Net Debt 2,500 50,000 100,000 200,000
Enterprise Value 47,676 200,000 300,000 475,000
Earnings Growth (CAGR past 3 years) 22% 6% 8% 10%
2001 ABC Peer A Peer B Peer C Industry
Average
Earnings Growth (CAGR past 3 years) 22% 6% 8% 10%
7.23 6.52 10.00 13.10 9.87
Price-Earning Ratio
3.17 5.56 7.89 13.97 9.14
EV / EBITDA
0.73 3.70 5.00 10.56 6.42
EV / Sales
2.42 10.00 11.43 15.28 12.24
Price to Book (Equity)
73.35 333.33 600.00 791.67 575
EV / Customer
Note: Peer companies are those public companies with similar nature of business of target firm .
20.00
15.00
01 P/E
10.00
*
5.00
-
0% 5% 10% 15% 20% 25% 30%
EPS Growth

BUY THE ORIGINAL DOCUMENT TEMPLATE: http://www.gazhoo.com
Valuation Using Venture Capital Method
Upside Case
Assumptions:
(USD$ in thousands, Except per Share Data)
Target Rate of Return (IRR) 15%
Investment Amount (US$'MM) 7,528.00
Percentage of Dilution in ESOP 10%
Percentage of Dilution in IPO 15%
Percentage of Dilution in other Rounds Prior to IPO 0%
Average PE Ratio 9.9
Total Current Share Outstanding 4,706
Exit Year 2001 2002 2003 2004 2005 2006
(USD$ in thousands, Except per Share Data)
Net Income 10,668 10,915 13,472 21,193 24,806
Terminal Value 105,314 107,758 133,004 209,227 244,893
Discounted Terminal Value 91,577 81,480 87,453 119,626 121,755
Required Final Percentage Ownership 8.22% 9.24% 8.61% 6.29% 6.18%
Required Current Percentage Ownership 10.40% 11.69% 10.89% 7.96% 7.82%
Number of New Shares 546 623 575 407 399
Price per New Share ($) 13.78 12.09 13.09 18.50 18.85
Implied Pre-money Valuation 64,865 56,883 61,604 87,038 88,721
Implied Post-money Valuation 72,393 64,411 69,132 94,566 96,249

Control Page
BUY THE ORIGINAL DOCUMENT TEMPLATE: http://www.gazhoo.com
General Model Information
Date
Company ABC
Company Name
Market Price $0.00 00/01/1900
52 Week High $0.00 00/01/1900
52 Week Low $0.00 00/01/1900
Currency USD$
thousands
Dollars In Enter units in lower case
Dollar Header (USD$ in thousands, Except per Share Data)
2001 Year of Last Full Year of Historical Data
Historical Year
Use LTM data Yes
3 March Fiscal Year End Month : 1 = Jan, 2 = Feb, etc..
Fiscal Year End Month
31 Enter Last Day of Fiscal Year, ex. 31
Fiscal Year End Day
Projected Fiscal Year Ending March 31,
Date Header
31/03/2001 Acquiror's Latest Full Year of Historical Financials End Date
Acquiror Latest Full Year of Historical Financi
#REF!