Enterprise Value to Equity Value Bridge Calculator
How do I bridge from headline Enterprise Value (EV) to true Equity Value by adjusting for debt, cash, and non-operating assets?
Financial Inputs
Net Equity Value
Starting with an Enterprise Value of ₹15 Cr, adjusting for Net Debt of ₹3 Cr (Debt: ₹5 Cr, Cash: ₹2 Cr) and non-operating assets sizes net Equity Value at ₹12,30,00,000.
Equity Value Per Share
123
Net Debt Position
3,00,00,000
Key Financial Takeaways
- Starting with an Enterprise Value of ₹15 Cr, adjusting for Net Debt of ₹3 Cr (Debt: ₹5 Cr, Cash: ₹2 Cr) and non-operating assets sizes net Equity Value at ₹12,30,00,000.
- Value per share for the company 10,00,000 outstanding shares is ₹123.
- Equity represents 82% of total enterprise value, while net financial leverage constitutes 20%.
Frequently Asked Questions
What is the "Debt-Free, Cash-Free" deal structure in Indian M&A transactions?
Most corporate acquisitions are quoted on a "Cash-Free, Debt-Free" basis at an agreed Enterprise Value. At closing, the buyer adds any surplus cash left in the company and deducts all existing funded debt, paying the resulting net Equity Value to the sellers.
Calculators on this platform provide indicative mathematical estimations based on industry-standard financial appraisal models (including Tandon Committee Method II, Nayak Turnover Method, and standard compound amortisation).
They do not constitute a formal facility sanction, credit commitment, or legal advisory from SME PAISA or any partner banking/NBFC institution. Final terms, interest margins, security stipulations, and credit sanctions remain strictly subject to formal credit appraisal, audited balance sheet verification, CMA Data assessment, and risk committee approval by institutional lenders.
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