Filing Flows › Crane (CR) › Takeover & LBO
Is Crane (CR) a takeover target?
A leveraged buyout at today's price plus 30% ($257.43 a share) would return about 2% a year to a private-equity buyer over 5 years; the most a buyer could pay for a 20% return is $137.98 a share (−30% against today's $198.02). Historically 5.3% of companies with its figures were bought within a year (1.06× the average).
The buyout, step by step
| Entry | Amount | How |
|---|---|---|
| Offer price a share | $257.43 | today's $198.02 plus 30% |
| × shares | 58.8 million | |
| = Equity value | $15.1B | |
| + Debt refinanced | $1.2B | |
| − Cash | $316M | |
| + Other claims | $2.3M | preferred stock, minority interests |
| = Enterprise value | $16.0B | 27.5× EBITDA of $582M |
| Fees | $320M | 2% of the price |
| New debt | $3.2B | 5.5× EBITDA at 7.65% a year; the limit that binds: 5.5× EBITDA |
| Buyer's own money | $13.1B | 80% of the cost |
5 years under the buyer
| Year | Revenue | EBITDA | Interest | Free cash flow | Debt left |
|---|---|---|---|---|---|
| Year 1 | $3.0B | $628M | $245M | $244M | $3.0B |
| Year 2 | $3.2B | $670M | $226M | $290M | $2.7B |
| Year 3 | $3.4B | $707M | $204M | $337M | $2.3B |
| Year 4 | $3.5B | $737M | $178M | $381M | $1.9B |
| Year 5 | $3.6B | $759M | $149M | $423M | $1.5B |
The exit and the buyer's return
| Exit | Amount | |
|---|---|---|
| Exit multiple | 21.5× EBITDA | today's trading multiple, before any premium |
| Enterprise value at exit | $16.3B | |
| − Debt left | $1.5B | |
| = Buyer's equity | $14.8B | |
| Money multiple | 1.13× | on $13.1B put in |
| Buyer's yearly return (IRR) | 2.4% |
Price against return
What the buyer makes at other premiums over today's $198.02; the IRR reaches 20% at $137.98 a share.
| Premium | Price a share | Buyer's IRR |
|---|---|---|
| 10% | $217.82 | 6.6% |
| 20% | $237.62 | 4.4% |
| 30% | $257.43 | 2.4% |
| 40% | $277.23 | 0.7% |
| 50% | $297.03 | −0.9% |
The figures used
| Figure | Amount | |
|---|---|---|
| Revenue, last 12 months | $2.8B | |
| EBITDA, last 12 months | $582M | 21.1% of revenue |
| Depreciation and amortization | $94.7M | |
| Capital spending | $47.2M | |
| Debt | $1.2B | |
| Cash | $316M | |
| Share price | $198.02 | on 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 24% 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, Crane would cost about $277.23 a share, $16.3B for all its shares.
| Premium | % | Price a share | All shares |
|---|---|---|---|
| Low end (a quarter of deals paid less) | 14.7% | $227.13 | $13.4B |
| Median | 40% | $277.23 | $16.3B |
| High end (a quarter paid more) | 60.2% | $317.23 | $18.7B |
The odds, from history
Historically 5.3% of companies with its figures were bought within a year (1.06× the average). Its figures put it in decile 7 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.
Crane's latest quarter
Crane, Q3 2026: revenue $755M (+28% year over year), operating margin 18.6%, net earnings $97.3M, operating cash flow $128M. The chart follows the revenue to costs, profit and cash.
Questions
Is Crane being acquired?
No headline, 8-K or 13D about a sale is on file in the last year.
Could private equity buy Crane?
A leveraged buyout at today's price plus 30% ($257.43 a share) would return about 2% a year to a private-equity buyer over 5 years; the most a buyer could pay for a 20% return is $137.98 a share (−30% against today's $198.02).
What would a takeover of Crane 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, Crane would cost about $277.23 a share, $16.3B for all its shares.
Updated Nov 8, 2026. Read automatically from SEC filings and public data; errors are possible. Not investment advice.