Using information below calculate the maximum share price a private equity firm would be wiling to ascribe to OldStreet Cobblers in a leveraged buy out transaction.

Assume OldStreet Cobblers does not have existing net debt and there are no transaction fees.

OldStreet Cobblers' current share price	28.40
Fully diluted number of shares outstanding	1,800.0
EBITDA, entry	5,000.0
EBITDA, exit	5,500.0
Debt financing available	25,000.0
Remaining debt at exit	6,000.0
Exit year	4.0
Exit EV EBITDA multiple	10.0 x
Required IRR	20.0%

Select one:

(4.9%)

27.02

13.13

23,630.4