m-a.wiki

A machine-readable reference for M&A deal math: LBO returns and the four-way value-creation bridge, accretion/dilution with breakeven-PE rules, the enterprise-to-equity purchase price bridge, agreement mechanics, and valuation cross-checks. Every entry that involves arithmetic states the formula and works it with numbers that tie.

Deal math is usually taught as narrative and then applied as a spreadsheet, and the gap between the two is where most errors live. This reference states the arithmetic first. Every worked example is internally consistent and ties to the bridge it claims to explain. Notation is uniform throughout: EV is enterprise value, E is equity value, D is the gross debt balance, C is cash, ND is net debt (D - C), EBITDA is earnings before interest, tax, depreciation and amortisation, x_entry and x_exit are the entry and exit EV/EBITDA multiples, t is the holding period in years, r is a discount rate or WACC, g is a growth rate, tau is the marginal tax rate, IRR is the internal rate of return, MOIC is multiple on invested capital, NI is net income, S is the fully diluted share count, P is price per share, and EPS is NI/S. Subscript 0 denotes entry or the pre-deal state and subscript t denotes exit or the pro forma state. Nothing here is a market-terms survey or a multiples benchmark: no leverage level, premium, or multiple appearing below is presented as a measured market statistic. Where a convention exists it is named as a convention. Where a rule comes from a statute or accounting standard it is cited by section.

Sections

• LBO returns math Sources and uses, the debt schedule, IRR and MOIC, and the four-way value-creation bridge - worked so the columns tie. - 9 entries, 6 tables
• Accretion and dilution Pro forma EPS, the breakeven-PE rules, and the arithmetic of cash versus stock versus debt. - 9 entries, 3 tables
• Purchase price and consideration The enterprise-to-equity bridge, cash-free debt-free, the working capital peg, and every contingent piece of the price. - 10 entries, 4 tables
• Deal process and agreement mechanics LOI through closing - exclusivity, reps, indemnity arithmetic, MAE, deal protection, and the fee taxonomy. - 11 entries, 4 tables
• Valuation cross-checks DCF, comparables, precedent premiums, and the LBO floor - four independent routes to the same number, with the arithmetic of each. - 8 entries, 5 tables

For machine readers

Every section has a parallel JSON endpoint at /{section}.json containing the same facts without markup. A manifest of the full corpus is at /llms.txt. Structured data is emitted as schema.org DefinedTermSet on every page.

Related references

This site is one of 9 topical references built from the same open generator, indexed at wallstreet.wiki. Each one owns a single subject. Where two subjects touch, the arithmetic lives on one site and the other links to it rather than restating it. The whole network is machine-readable at /network.json.