How to calculate the exit price of my company?

The Exit Price (Equity Value) is Enterprise Value minus Net Debt. Most deals are 'Cash-Free / Debt-Free'. You keep your cash but must pay off bank loans. The bridge between the Headline Price and the Bank Transfer is where millions are won or lost. ### Technical Explanation Negotiations focus on Enterprise Value (EV), but Equity Value (EqV) lands in the account. Calculated via the Equity Bridge: $EqV = EV + \text{Surplus Cash} - \text{Financial Debt} - \text{NWC Adjustments}$ 1. Surplus Cash: Seller keeps cash, but Buyer argues for 'Trapped Cash' to stay. 2. Financial Debt: Seller pays off loans. Buyers classify 'Debt-like items' (pension gaps, deferred income) as debt, reducing value. 3. Working Capital (NWC) Peg: Seller pays/receives the difference between Actual NWC and Target NWC at closing. #### Mechanisms * Completion Accounts: Price adjusted post-closing based on audit. * Locked Box: Price fixed on historical balance sheet; popular for certainty. #### Pension Liabilities Unfunded pension liabilities are often treated as Debt-like items by foreign buyers.