Filing Flows

Filing Flows › Aaon (AAON) › Takeover & LBO

Is Aaon (AAON) a takeover target?

A leveraged buyout at today's price plus 30% ($87.62 a share) would return about 3% a year to a private-equity buyer over 5 years; the most a buyer could pay for a 20% return is $51.47 a share (−24% against today's $67.40).

Share price$67.40
Offer at +30%$87.62
Buyer's IRR3%
Most for 20%$51.47
EV / EBITDA18.9×
Buyout debt5.5× EBITDA

The buyout, step by step

EntryAmountHow
Offer price a share$87.62today's $67.40 plus 30%
× shares83.7 million
= Equity value$7.3B
+ Debt refinanced$0
− Cash$13K
= Enterprise value$7.3B24.6× EBITDA of $299M
Fees$147M2% of the price
New debt$1.6B5.5× EBITDA at 7.65% a year; the limit that binds: 5.5× EBITDA
Buyer's own money$5.8B78% of the cost

5 years under the buyer

Aaon: buyout debt left, year by yearAaon: buyout debt left, year by year$1.6BEntry$1.5BYear 1$1.3BYear 2$1.1BYear 3$803MYear 4$519MYear 5
Free cash flow after interest and tax repays the debt; a shortfall is borrowed.
YearRevenueEBITDAInterestFree cash flowDebt left
Year 1$2.1B$322M$126M$164M$1.5B
Year 2$2.2B$344M$113M$195M$1.3B
Year 3$2.4B$363M$98.2M$225M$1.1B
Year 4$2.5B$379M$81.0M$255M$803M
Year 5$2.5B$390M$61.4M$284M$519M

The exit and the buyer's return

ExitAmount
Exit multiple18.9× EBITDAtoday's trading multiple, before any premium
Enterprise value at exit$7.4B
− Debt left$519M
= Buyer's equity$6.9B
Money multiple1.17×on $5.8B put in
Buyer's yearly return (IRR)3.2%

Price against return

What the buyer makes at other premiums over today's $67.40; the IRR reaches 20% at $51.47 a share.

PremiumPrice a shareBuyer's IRR
10%$74.147.9%
20%$80.885.4%
30%$87.623.2%
40%$94.361.3%
50%$101.10−0.4%

The figures used

FigureAmount
Revenue, last 12 months$1.9B
EBITDA, last 12 months$299M15.4% of revenue
Depreciation and amortization$85.0M
Debt$0
Cash$13K
Share price$67.40on Oct 30, 2026

Fixed rules, the same as the interactive view's starting point: the shares are bought at today's price plus 30%, the company's debt is refinanced and fees take 2%. New debt is the least of 5.5× EBITDA, 65% of the price and the amount whose interest EBITDA covers 2 times, at 7.65% a year (SOFR 3.89% plus the high-yield B spread 3.26% plus 0.5%, rates of Oct 15, 2026). Revenue grows 8.0% in the first year — the company's own rate, held between −3% and +8% — fading to 3% by year 5; the EBITDA margin, depreciation and capital spending stay at today's share of revenue; working capital takes 10% of each year's added revenue; tax is 17% of profit after interest. Every dollar of free cash flow repays debt. After 5 years the buyer sells at today's multiple of EBITDA.

What a takeover could cost

Takeovers in its sector paid a median premium of 40% over the share price before the deal (the middle half 14.7% to 60.2%), according to the 20 merger proxies and tender-offer responses on EDGAR that state a premium. At the median, Aaon would cost about $94.36 a share, $7.9B for all its shares.

Premium%Price a shareAll shares
Low end (a quarter of deals paid less)14.7%$77.31$6.5B
Median40%$94.36$7.9B
High end (a quarter paid more)60.2%$107.97$9.0B

Aaon's latest quarter

Aaon, Q2 2026: revenue $627M (+101% year over year), operating margin 11.0%, net earnings $56.7M, operating cash flow $21.0M. The chart follows the revenue to costs, profit and cash.

Questions

Is Aaon being acquired?

No headline, 8-K or 13D about a sale is on file in the last year.

Could private equity buy Aaon?

A leveraged buyout at today's price plus 30% ($87.62 a share) would return about 3% a year to a private-equity buyer over 5 years; the most a buyer could pay for a 20% return is $51.47 a share (−24% against today's $67.40).

What would a takeover of Aaon cost?

Takeovers in its sector paid a median premium of 40% over the share price before the deal (the middle half 14.7% to 60.2%), according to the 20 merger proxies and tender-offer responses on EDGAR that state a premium. At the median, Aaon would cost about $94.36 a share, $7.9B for all its shares.

Open the interactive view →

Updated Nov 8, 2026. Read automatically from SEC filings and public data; errors are possible. Not investment advice.