📊 LBO Model Generator

A Python tool that automates the creation of Leveraged Buyout (LBO) financial models. Perform comprehensive LBO analysis including debt structuring, financial projections, and return metrics with visual insights.

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🔍 Overview

This tool implements a complete framework for LBO analysis, enabling users to:

• Model detailed financial projections
• Analyze capital structure
• Evaluate investment returns (IRR, MOIC)
• Visualize key metrics over the holding period

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✨ Features

🧾 Complete LBO Modeling Framework

• Income statement projections: Revenue → EBITDA → Net Income
• Cash flow statement with integrated debt repayment
• Balance sheet projections
• IRR and MOIC calculations

📈 Key Metrics

• Entry/exit valuation multiples
• Debt/equity financing breakdown
• Free cash flow generation
• Amortization and debt paydown schedule

📊 Visualizations

• Revenue & EBITDA growth
• Margin improvement trends
• Debt balance over time
• Cumulative free cash flow

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⚙️ Installation

1. Clone the Repository

git clone https://github.com/yourusername/lbo-model-generator.git
cd lbo-model-generator
pip install -r requirements.txt

🚀 Usage

from lbo_model import LBOModel

# Initialize model
lbo = LBOModel(
    company_name="Acme Corp",
    entry_year=2023,
    exit_year=2028,
    revenue_entry=500,             # $500M
    ebitda_margin_entry=25,        # 25%
    revenue_growth=8,              # 8% per year
    ebitda_margin_exit=30,         # 30% at exit
    capex_percent=4,               # 4% of revenue
    dso=45, dpo=60, dsi=30,        # Working capital
    purchase_price_multiple=10.0,  # 10x EBITDA
    debt_percentage=60,            # 60% debt
    interest_rate=8,               # 8% interest
    amortization_years=5           # Amortized over 5 years
)

# Generate summary
lbo.summary()

# Visualize outputs
lbo.visualize()

# Access financials
print(lbo.income_stmt)
print(lbo.cash_flow)
print(lbo.balance_sheet)

📋 Example Output

LBO Model Summary for Acme Corp
==================================================
Entry Year: 2023
Exit Year: 2028
Holding Period: 5 years

Entry EBITDA: $125.00M
Purchase Price (at 10.0x EBITDA): $1,250.00M

Financing Structure:
  - Debt: $750.00M (60.0%)
  - Equity: $500.00M (40.0%)

Exit Metrics:
  Exit EBITDA: $220.00M
  Exit EBITDA Margin: 30.0%

Returns:
  IRR: 18.7%
  MOIC: 2.35x