Filing Flows › Liberty Energy (LBRT) › Takeover & LBO
Is Liberty Energy (LBRT) a takeover target?
A leveraged buyout at today's price plus 30% ($15.52 a share) would return a loss of all the money the buyer puts in to a private-equity buyer over 5 years; no price, however low, gets a buyer to 20%. Historically 4.0% of companies with its figures were bought within a year (0.79× the average).
The buyout, step by step
| Entry | Amount | How |
|---|---|---|
| Offer price a share | $15.52 | today's $11.94 plus 30% |
| × shares | 163.2 million | |
| = Equity value | $2.5B | |
| + Debt refinanced | $1.3B | |
| − Cash | $119M | |
| = Enterprise value | $3.7B | 6.9× EBITDA of $536M |
| Fees | $74.1M | 2% of the price |
| New debt | $2.4B | 4.5× EBITDA at 7.65% a year; the limit that binds: 65% of the price |
| Buyer's own money | $1.4B | 36% of the cost |
5 years under the buyer
| Year | Revenue | EBITDA | Interest | Free cash flow | Debt left |
|---|---|---|---|---|---|
| Year 1 | $4.8B | $579M | $184M | −$950M | $3.4B |
| Year 2 | $5.1B | $618M | $257M | −$1.1B | $4.4B |
| Year 3 | $5.4B | $652M | $339M | −$1.2B | $5.6B |
| Year 4 | $5.6B | $680M | $429M | −$1.3B | $6.9B |
| Year 5 | $5.8B | $701M | $530M | −$1.4B | $8.4B |
The exit and the buyer's return
| Exit | Amount | |
|---|---|---|
| Exit multiple | 5.8× EBITDA | today's trading multiple, before any premium |
| Enterprise value at exit | $4.1B | |
| − Debt left | $8.4B | |
| = Buyer's equity | −$4.3B | |
| Money multiple | -3.12× | on $1.4B put in |
| Buyer's yearly return (IRR) | −100.0% |
Price against return
What the buyer makes at other premiums over today's $11.94.
| Premium | Price a share | Buyer's IRR |
|---|---|---|
| 10% | $13.13 | −100.0% |
| 20% | $14.32 | −100.0% |
| 30% | $15.52 | −100.0% |
| 40% | $16.71 | −100.0% |
| 50% | $17.90 | −100.0% |
The figures used
| Figure | Amount | |
|---|---|---|
| Revenue, last 12 months | $4.4B | |
| EBITDA, last 12 months | $536M | 12.1% of revenue |
| Depreciation and amortization | $462M | |
| Capital spending | $1.2B | |
| Debt | $1.3B | |
| Cash | $119M | |
| Share price | $11.94 | 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 12% 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, Liberty Energy would cost about $15.81 a share, $2.6B for all its shares.
| Premium | % | Price a share | All shares |
|---|---|---|---|
| Low end (a quarter of deals paid less) | 20% | $14.32 | $2.3B |
| Median | 32.5% | $15.81 | $2.6B |
| High end (a quarter paid more) | 51.8% | $18.12 | $3.0B |
The odds, from history
Historically 4.0% of companies with its figures were bought within a year (0.79× the average). Its figures put it in decile 4 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.
Liberty Energy's latest quarter
Liberty Energy, Q3 2026: revenue $1.2B (+26% year over year), operating margin 1.6%, net loss $39.1M, operating cash flow $223M. The chart follows the revenue to costs, profit and cash.
Questions
Is Liberty Energy being acquired?
No headline, 8-K or 13D about a sale is on file in the last year.
Could private equity buy Liberty Energy?
A leveraged buyout at today's price plus 30% ($15.52 a share) would return a loss of all the money the buyer puts in to a private-equity buyer over 5 years; no price, however low, gets a buyer to 20%.
What would a takeover of Liberty Energy 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, Liberty Energy would cost about $15.81 a share, $2.6B for all its shares.
Updated Nov 8, 2026. Read automatically from SEC filings and public data; errors are possible. Not investment advice.