EMAT - Epsilon Multiples

• Equity Value (EqV) = value of 100% of the shares
• Enterprise Value (EV) = Equity Value + Net Financial Debt

Standard Multiples

• EV multiples are based on the Enterprise Value (Sales, EBITDA, EBIT and sector specific multiples)

• EqV multiples are based on the Equity Value (PBT, PAT and Price to Book)

• Price to Book = EqV / Net assets (ie. market value / book value of the shares)

• P/E = PER: Price to Earnings Ratio = EqV / PAT > See Investopedia definition

Historic & Current Multiples

• Historic multiples are based on “N-1 accounts” = Last Twelve Months (LTM)  or last closed accounts before the closing date (see 1st line of the financial table: Date N-1 = __)
• Current multiples are based on the “N accounts” = accounts for the current year (year of the deal), which are usually estimates.