Filing Flows › Floor & Decor Holdings (FND) › Takeover & LBO
Is Floor & Decor Holdings (FND) a takeover target?
A leveraged buyout at today's price plus 30% ($66.91 a share) would return a loss of about 5% a year to a private-equity buyer over 5 years; no price, however low, gets a buyer to 20%. Historically 3.2% of companies with its figures were bought within a year (0.64× the average).
The buyout, step by step
| Entry | Amount | How |
|---|---|---|
| Offer price a share | $66.91 | today's $51.47 plus 30% |
| × shares | 106.7 million | |
| = Equity value | $7.1B | |
| + Debt refinanced | $196M | |
| − Cash | $392M | |
| = Enterprise value | $6.9B | 12.5× EBITDA of $554M |
| Fees | $139M | 2% of the price |
| New debt | $3.0B | 5.5× EBITDA at 7.65% a year; the limit that binds: 5.5× EBITDA |
| Buyer's own money | $4.0B | 57% of the cost |
5 years under the buyer
| Year | Revenue | EBITDA | Interest | Free cash flow | Debt left |
|---|---|---|---|---|---|
| Year 1 | $4.8B | $564M | $233M | $33.6M | $3.0B |
| Year 2 | $4.9B | $576M | $231M | $38.8M | $3.0B |
| Year 3 | $5.1B | $590M | $228M | $45.0M | $2.9B |
| Year 4 | $5.2B | $606M | $224M | $52.3M | $2.9B |
| Year 5 | $5.3B | $624M | $220M | $60.8M | $2.8B |
The exit and the buyer's return
| Exit | Amount | |
|---|---|---|
| Exit multiple | 9.6× EBITDA | today's trading multiple, before any premium |
| Enterprise value at exit | $6.0B | |
| − Debt left | $2.8B | |
| = Buyer's equity | $3.1B | |
| Money multiple | 0.78× | on $4.0B put in |
| Buyer's yearly return (IRR) | −4.8% |
Price against return
What the buyer makes at other premiums over today's $51.47.
| Premium | Price a share | Buyer's IRR |
|---|---|---|
| 10% | $56.62 | 1.6% |
| 20% | $61.76 | −2.0% |
| 30% | $66.91 | −4.8% |
| 40% | $72.06 | −7.3% |
| 50% | $77.20 | −9.4% |
The figures used
| Figure | Amount | |
|---|---|---|
| Revenue, last 12 months | $4.7B | |
| EBITDA, last 12 months | $554M | 11.7% of revenue |
| Depreciation and amortization | $248M | |
| Capital spending | $267M | |
| Debt | $196M | |
| Cash | $392M | |
| Share price | $51.47 | on Nov 5, 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 1.8% 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 22% 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, Floor & Decor Holdings would cost about $68.20 a share, $7.3B for all its shares.
| Premium | % | Price a share | All shares |
|---|---|---|---|
| Low end (a quarter of deals paid less) | 20% | $61.76 | $6.6B |
| Median | 32.5% | $68.20 | $7.3B |
| High end (a quarter paid more) | 51.8% | $78.13 | $8.3B |
The odds, from history
Historically 3.2% of companies with its figures were bought within a year (0.64× the average). Its figures put it in decile 3 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.
Floor & Decor Holdings' latest quarter
Floor & Decor Holdings, Q3 2026: revenue $1.2B (+3% year over year), operating margin 6.4%, net earnings $64.8M, operating cash flow $207M. The chart follows the revenue to costs, profit and cash.
Questions
Is Floor & Decor Holdings being acquired?
No headline, 8-K or 13D about a sale is on file in the last year.
Could private equity buy Floor & Decor Holdings?
A leveraged buyout at today's price plus 30% ($66.91 a share) would return a loss of about 5% a year to a private-equity buyer over 5 years; no price, however low, gets a buyer to 20%.
What would a takeover of Floor & Decor Holdings 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, Floor & Decor Holdings would cost about $68.20 a share, $7.3B for all its shares.
Updated Nov 8, 2026. Read automatically from SEC filings and public data; errors are possible. Not investment advice.