Bear Stearns Investment Banking Pitch Book
Comparable Company Multiples and Implied Valuation-Global
Communications Group
Aviator
Enterprise Communications
Alcatel
Aspect
Cisco
Inter-Tel
Inter Voice
Nortel
Polycom
Mean
Median
Company
Global Communications Group
Implied Enterprise Value
Alcatel
Aspect
Cisco
Inter-Tel
InterVoice
Nortel
Polycom
Stock
Price
05/09/05
$9.08
10.95
9.02
18.21
19.23
11.00
2.62
15.66
Equity Enterprise
Value
Value
$4,185.6
15,286.5
575.3
117,893.7
588.3
434.9
9,330.1
1,562.4
$3,518.6
14,812.2
415.5
101,368.7
373.4
394.7
10,079.1
1,347.5
Enterprise Value/CY 2005E
EBITDA
Revenue
0.70
X
0.88
X
1.12
3.93
0.83
2.35
1.14
2.33
1.80
X
1.14
$2,045.3
2,585.7
9,108.5
1,913.5
5,443.4
2,643.3
5,402.9
5.6 X
6.8 X
4.9
11.1
5.8
11.7
12.6
10.1
9.0
10.1
$1,501.5
1,072.9
2,438.6
1,286.1
2,570.3
2,784.2
2,233.3
X
EBIT
Note: Financial projections based on Wall Street equity research and Bear Stearns Investment Banking estimates.
10.4
X
9.6
X
6.6
12.6
6.4
15.1
19.9
13.9
12.0
X
12.6
$1,145.4
783.4
1,505.0
768.6
1,809.1
2,375.0
1,664.8
Enterprise Value/CY 2006E
EBITDA
Revenue
0.65 X
0.85 X
1.06
3.53
0.77
2.11
.08
2.10
1.64x
1.08
$2,108.1
2,626.5
8,773.4
1,912.3
5,257.9
2,682.5
5,234.1
5.1
X
6.4
X
4.3
9.9
5.1
9.2
8.5
7.5
X
8.5
$1,649.2
1,091.5
2,549.4
1,302.3
2,366.2
2,339.8
2,172.2
EBIT
8.4
X
9.0
X
5.4
11.2
5.8
11.4
12.5
11.5
9.6
X
11.2
$1,414.7
844.6
1,757.1
917.0
1,785.7
1,965.8
1,802.9
($ in millions)
CY 2005E
15.7
X
14.5
X
15.8
19.3
13.8
18.4
29.7
20.3
18.8
X
18.4
$1,525.8
1,663.9
2,027.0
1,454.6
1,934.1
3,125.2
2,138.4
P/E
CY 2006E
12.7 x
12.0 x
13.5
17.0
12.0
16.9
18.6
17.2
15.3 X
16.9
$1,662.8
1,858.5
2,348.5
1,659.1
2,331.9
2,562.3
2,375.6View entire presentation