Private Equity Interview Case Study Pdf

Explain in 2–3 sentences exactly how this deal makes money (e.g., market consolidation, operational turnaround, or expansion into new territories).

If you forgot debt paydown, exit equity would be $547.2 - $300 = $247 (1.24x MOIC, 5% IRR). You would be rejected.

Usually given verbally or on a single printed page. No Excel. You need to calculate approximate IRR and MOIC using mental math or a pen.

Determine how much equity you need to buy the company.

The Ultimate Guide to Private Equity Interview Case Studies (With PDF Preparation Checklist) private equity interview case study pdf

Purchase price multiple reflects current market conditions for the sector.

A PE case study is a simulation of the investment process. Candidates are typically provided with a set of documents—often a confidential information memorandum (CIM), financial model, and industry research—concerning a potential target company. You will be asked to: and its industry. Build an LBO (Leveraged Buyout) model .

High EBITDA margins, low fixed costs, operating leverage (margins expand as revenue grows).

The format you encounter depends on the firm and the stage of the interview. Explain in 2–3 sentences exactly how this deal

By walking through these steps, you demonstrate a command of the key drivers of a successful leveraged buyout.

Copy this checklist into your preparation notes to ensure your materials match institutional standards before your interview. Model Mechanics

Build a clean debt waterfall. Ensure senior debt amortizes according to schedule, and excess cash sweeps dynamically to pay down optional debt.

Depth of research, advanced commercial thinking, and polished presentation formatting. The Verbal Case Study Usually given verbally or on a single printed page

Present your valuation methods (LBO analysis, trading comparables, precedent transactions), key model outputs (IRR, MOIC, entry and exit multiples), and stress-test returns under different scenarios.

Build a highly detailed, fully integrated LBO model and a comprehensive investment committee memo.

Highlight the baseline Internal Rate of Return (IRR) and Multiple on Invested Capital (MOIC). Company & Industry Overview

A rapid-fire mental math test. You’ll be given a few figures—EBITDA, purchase multiple, and leverage—and asked to sketch a simplified model by hand. In-Office Live Case (1–3 Hours):

For further preparation, consider downloading a comprehensive case study PDF today and timing yourself through a complete exercise. The investment you make in preparation directly correlates with your likelihood of receiving an offer.

Include standard debt tranches like senior secured loans and mezzanine financing.