PJT Partners Investment Banking Pitch Book
Lunar Valuation Summary
Normalized Trading (¹)
Normalized Trading
Discounted Cash Flow (3)
Standalone
Trading Range
(For Informational
Purposes Only)
Lunar 52-Week Trading
Analyst Targets
$16
$15
Current
Share Price:
$20.73
$20
$20
$24
$23
$26
Analyst Target Median: $26
$30
$37
$41
$45
Confidential
Key Assumptions:
14.0x - 16.0x Normalized Adj. EBITDA (post-
SBC, excl. equity income) of $250mm
8.0%-9.0% WACC; 14.0x - 16.0x assumed
terminal multiple on Adj. EBITDA (post-SBC,
excl. equity income) of $236mm in FY2021
Discounted 1 year at Lunar's cost of equity of
9.5%
$0
Source: Public filings, Lunar Management, Bloomberg and Capital IQ.
Note: Market data as of 6/21/16. Adjusted EBITDA estimates are post-SBC, excl. equity income. Fully diluted shares outstanding range from 153.0mm to 161.8mm varying with
implied share price.
(1) Valuation based on historical TEV/NTM Adjusted EBITDA (post-SBC, excl. equity income) trading multiples for Lunar and long-run forecast EBITDA of-$250mm. Based on net
debt of $788mm and investments in affiliates and minority interest of $884mm as of 3/31/16, as per Lunar Management.
(2) Refer to page 17 for further details.
(3) Valuation as of 12/31/16 for DCF analysis. Based on net debt of $812mm and investments in affiliates and minority interest of $884mm as of 12/31/16 as per Lunar Management.
PJT Partners 18View entire presentation