Filing Flows › Jazz Pharmaceuticals (JAZZ) › Takeover & LBO
Is Jazz Pharmaceuticals (JAZZ) a takeover target?
A leveraged buyout at today's price plus 30% ($305.37 a share) would return about 5% a year to a private-equity buyer over 5 years; the most a buyer could pay for a 20% return is $177.84 a share (−24% against today's $234.90). Historically 2.6% of companies with its figures were bought within a year (0.52× the average).
The buyout, step by step
| Entry | Amount | How |
|---|---|---|
| Offer price a share | $305.37 | today's $234.90 plus 30% |
| × shares | 64.7 million | |
| = Equity value | $19.8B | |
| + Debt refinanced | $5.6B | |
| − Cash | $2.0B | |
| = Enterprise value | $23.3B | 20.3× EBITDA of $1.1B |
| Fees | $466M | 2% of the price |
| New debt | $6.3B | 5.5× EBITDA at 7.65% a year; the limit that binds: 5.5× EBITDA |
| Buyer's own money | $17.5B | 74% of the cost |
5 years under the buyer
| Year | Revenue | EBITDA | Interest | Free cash flow | Debt left |
|---|---|---|---|---|---|
| Year 1 | $5.1B | $1.2B | $482M | $640M | $5.7B |
| Year 2 | $5.4B | $1.3B | $433M | $759M | $4.9B |
| Year 3 | $5.7B | $1.4B | $375M | $872M | $4.0B |
| Year 4 | $6.0B | $1.5B | $308M | $981M | $3.0B |
| Year 5 | $6.2B | $1.5B | $233M | $1.1B | $2.0B |
The exit and the buyer's return
| Exit | Amount | |
|---|---|---|
| Exit multiple | 16.4× EBITDA | today's trading multiple, before any premium |
| Enterprise value at exit | $24.5B | |
| − Debt left | $2.0B | |
| = Buyer's equity | $22.5B | |
| Money multiple | 1.29× | on $17.5B put in |
| Buyer's yearly return (IRR) | 5.2% |
Price against return
What the buyer makes at other premiums over today's $234.90; the IRR reaches 20% at $177.84 a share.
| Premium | Price a share | Buyer's IRR |
|---|---|---|
| 10% | $258.39 | 9.4% |
| 20% | $281.88 | 7.2% |
| 30% | $305.37 | 5.2% |
| 40% | $328.86 | 3.4% |
| 50% | $352.35 | 1.8% |
The figures used
| Figure | Amount | |
|---|---|---|
| Revenue, last 12 months | $4.7B | |
| EBITDA, last 12 months | $1.1B | 24.3% of revenue |
| Depreciation and amortization | $719M | |
| Capital spending | $70.8M | |
| Debt | $5.6B | |
| Cash | $2.0B | |
| Share price | $234.90 | on 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 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 21% 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 35% over the share price before the deal (the middle half 22% to 45%), according to the 15 merger proxies and tender-offer responses on EDGAR that state a premium. At the median, Jazz Pharmaceuticals would cost about $317.12 a share, $20.5B for all its shares.
| Premium | % | Price a share | All shares |
|---|---|---|---|
| Low end (a quarter of deals paid less) | 22% | $286.58 | $18.5B |
| Median | 35% | $317.12 | $20.5B |
| High end (a quarter paid more) | 45% | $340.61 | $22.0B |
The odds, from history
Historically 2.6% of companies with its figures were bought within a year (0.52× the average). Its figures put it in decile 2 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.
Jazz Pharmaceuticals' latest quarter
Jazz Pharmaceuticals, Q3 2026: revenue $1.2B (+10% year over year), operating margin -33.3%, net loss $483M, operating cash flow $506M. The chart follows the revenue to costs, profit and cash.
Questions
Is Jazz Pharmaceuticals being acquired?
No headline, 8-K or 13D about a sale is on file in the last year.
Could private equity buy Jazz Pharmaceuticals?
A leveraged buyout at today's price plus 30% ($305.37 a share) would return about 5% a year to a private-equity buyer over 5 years; the most a buyer could pay for a 20% return is $177.84 a share (−24% against today's $234.90).
What would a takeover of Jazz Pharmaceuticals cost?
Takeovers in its sector paid a median premium of 35% over the share price before the deal (the middle half 22% to 45%), according to the 15 merger proxies and tender-offer responses on EDGAR that state a premium. At the median, Jazz Pharmaceuticals would cost about $317.12 a share, $20.5B for all its shares.
Updated Nov 8, 2026. Read automatically from SEC filings and public data; errors are possible. Not investment advice.