Market price or asking price |
£5,534,745,741 |
Loans from lenders at LTV 70% with interest rate at 5% for 10 years |
£3,874,322,019 |
30% Cash provided from buyer |
£1,660,423,722 |
Average revenue over the period |
£17,533,173,565 |
Estimated operating profit margin (%) |
3.2 |
Average operating profit over the period |
£561,061,554 |
- Less average acquisition interest expenses over the period |
£114,310,224 |
Average profit before tax |
£446,751,330 |
- Less corporate income tax at 29% |
£129,557,886 |
Average profit after tax |
£317,193,444 |
+ Add average depreciation over the period |
£483,626,170 |
+ Add average amortization over the period |
£0 |
+ Add average acquisition interest expenses over the period |
£114,310,224 |
Average net cash flow after tax |
£915,129,839 |
- Less average capex over the period |
£260,760,656 |
Average net cash flow before debt service |
£654,369,183 |
- Less cash flow safety cushion required |
£166,042,372 |
Net cash flow available for debt service |
£488,326,811 |
Maximum loan that can be supported by cash flow |
£3,770,730,192 |
Value of company operations (£3,770,730,192 / 70%) |
£5,386,757,417 |
+ Add cash & cash equivalents |
£2,218,000,000 |
- Less total interest-bearing debts |
£5,637,000,000 |
Business intrinsic value |
£1,967,757,417 |
Business intrinsic value per share |
£1.83 |