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Filing Flows › Autoliv (ALV) › Takeover & LBO

Is Autoliv (ALV) a takeover target?

A leveraged buyout at today's price plus 30% ($160.71 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 $109.42 a share (−11% against today's $123.62). Historically 1.7% of companies with its figures were bought within a year (0.34× the average).

Share price$123.62
Offer at +30%$160.71
Buyer's IRR3%
Most for 20%$109.42
EV / EBITDA7.5×
Buyout debt5.5× EBITDA

The buyout, step by step

EntryAmountHow
Offer price a share$160.71today's $123.62 plus 30%
× shares72.9 million
= Equity value$11.7B
+ Debt refinanced$1.9B
− Cash$197M
+ Other claims$11.0Mpreferred stock, minority interests
= Enterprise value$13.5B9.4× EBITDA of $1.4B
Fees$269M2% of the price
New debt$7.9B5.5× EBITDA at 7.65% a year; the limit that binds: 5.5× EBITDA
Buyer's own money$5.8B42% of the cost

5 years under the buyer

Autoliv: buyout debt left, year by yearAutoliv: buyout debt left, year by year$7.9BEntry$7.6BYear 1$7.3BYear 2$6.9BYear 3$6.5BYear 4$6.0BYear 5
Free cash flow after interest and tax repays the debt; a shortfall is borrowed.
YearRevenueEBITDAInterestFree cash flowDebt left
Year 1$11.5B$1.5B$605M$289M$7.6B
Year 2$12.0B$1.6B$583M$336M$7.3B
Year 3$12.4B$1.6B$557M$386M$6.9B
Year 4$12.8B$1.7B$528M$436M$6.5B
Year 5$13.2B$1.7B$494M$488M$6.0B

The exit and the buyer's return

ExitAmount
Exit multiple7.5× EBITDAtoday's trading multiple, before any premium
Enterprise value at exit$12.9B
− Debt left$6.0B
= Buyer's equity$6.9B
Money multiple1.18×on $5.8B put in
Buyer's yearly return (IRR)3.4%

Price against return

What the buyer makes at other premiums over today's $123.62; the IRR reaches 20% at $109.42 a share.

PremiumPrice a shareBuyer's IRR
10%$135.9811.1%
20%$148.347.0%
30%$160.713.4%
40%$173.070.4%
50%$185.43−2.1%

The figures used

FigureAmount
Revenue, last 12 months$11.1B
EBITDA, last 12 months$1.4B13.0% of revenue
Depreciation and amortization$436M
Capital spending$413M
Debt$1.9B
Cash$197M
Share price$123.62on Nov 6, 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 4.3% 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 29% 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 on record paid a median premium of 32.5% over the share price before the deal (the middle half 20% to 51.8%), according to the 1,437 merger proxies and tender-offer responses on EDGAR that state a premium. At the median, Autoliv would cost about $163.80 a share, $11.9B for all its shares.

Premium%Price a shareAll shares
Low end (a quarter of deals paid less)20%$148.34$10.8B
Median32.5%$163.80$11.9B
High end (a quarter paid more)51.8%$187.66$13.7B

The odds, from history

Historically 1.7% of companies with its figures were bought within a year (0.34× the average). Its figures put it in decile 1 of 10 (10 = the most likely to be bought). The odds come from a model of every merger proxy, tender-offer response and going-private statement filed on EDGAR since 2011, set against each company's size, margins, debt, cash flow and growth the year before.

Autoliv's latest quarter

Autoliv, Q3 2026: revenue $2.7B (-0.5% year over year), operating margin 9.4%, net earnings $155M, operating cash flow $239M. The chart follows the revenue to costs, profit and cash.

Questions

Is Autoliv being acquired?

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

Could private equity buy Autoliv?

A leveraged buyout at today's price plus 30% ($160.71 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 $109.42 a share (−11% against today's $123.62).

What would a takeover of Autoliv cost?

Takeovers on record paid a median premium of 32.5% over the share price before the deal (the middle half 20% to 51.8%), according to the 1,437 merger proxies and tender-offer responses on EDGAR that state a premium. At the median, Autoliv would cost about $163.80 a share, $11.9B 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.