Filing Flows › LivaNova (LIVN) › Takeover & LBO
Is LivaNova (LIVN) a takeover target?
A leveraged buyout at today's price plus 30% ($102.66 a share) would return a loss of about 0% a year to a private-equity buyer over 5 years; no price, however low, gets a buyer to 20%. Historically 4.3% of companies with its figures were bought within a year (0.87× the average).
The buyout, step by step
| Entry | Amount | How |
|---|---|---|
| Offer price a share | $102.66 | today's $78.97 plus 30% |
| × shares | 57.4 million | |
| = Equity value | $5.9B | |
| + Debt refinanced | $295M | |
| − Cash | $563M | |
| = Enterprise value | $5.6B | 25.8× EBITDA of $218M |
| Fees | $112M | 2% of the price |
| New debt | $1.2B | 5.5× EBITDA at 7.65% a year; the limit that binds: 5.5× EBITDA |
| Buyer's own money | $4.5B | 79% of the cost |
5 years under the buyer
| Year | Revenue | EBITDA | Interest | Free cash flow | Debt left |
|---|---|---|---|---|---|
| Year 1 | $1.6B | $235M | $91.6M | $4.0M | $1.2B |
| Year 2 | $1.7B | $251M | $91.3M | $11.8M | $1.2B |
| Year 3 | $1.8B | $265M | $90.4M | $19.7M | $1.2B |
| Year 4 | $1.9B | $276M | $88.9M | $27.5M | $1.1B |
| Year 5 | $2.0B | $284M | $86.8M | $34.8M | $1.1B |
The exit and the buyer's return
| Exit | Amount | |
|---|---|---|
| Exit multiple | 19.6× EBITDA | today's trading multiple, before any premium |
| Enterprise value at exit | $5.6B | |
| − Debt left | $1.1B | |
| = Buyer's equity | $4.5B | |
| Money multiple | 0.98× | on $4.5B put in |
| Buyer's yearly return (IRR) | −0.3% |
Price against return
What the buyer makes at other premiums over today's $78.97.
| Premium | Price a share | Buyer's IRR |
|---|---|---|
| 10% | $86.87 | 4.3% |
| 20% | $94.76 | 1.9% |
| 30% | $102.66 | −0.3% |
| 40% | $110.56 | −2.2% |
| 50% | $118.45 | −3.9% |
The figures used
| Figure | Amount | |
|---|---|---|
| Revenue, last 12 months | $1.5B | |
| EBITDA, last 12 months | $218M | 14.5% of revenue |
| Depreciation and amortization | $55.8M | |
| Capital spending | $109M | |
| Debt | $295M | |
| Cash | $563M | |
| Share price | $78.97 | 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 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 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, LivaNova would cost about $106.61 a share, $6.1B for all its shares.
| Premium | % | Price a share | All shares |
|---|---|---|---|
| Low end (a quarter of deals paid less) | 22% | $96.34 | $5.5B |
| Median | 35% | $106.61 | $6.1B |
| High end (a quarter paid more) | 45% | $114.51 | $6.6B |
The odds, from history
Historically 4.3% of companies with its figures were bought within a year (0.87× the average). Its figures put it in decile 5 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.
LivaNova's latest quarter
LivaNova, Q3 2026: revenue $393M (+10% year over year), operating margin 7.2%, net earnings $34.3M, operating cash flow $73.7M. The chart follows the revenue to costs, profit and cash.
Questions
Is LivaNova being acquired?
No headline, 8-K or 13D about a sale is on file in the last year.
Could private equity buy LivaNova?
A leveraged buyout at today's price plus 30% ($102.66 a share) would return a loss of about 0% a year to a private-equity buyer over 5 years; no price, however low, gets a buyer to 20%.
What would a takeover of LivaNova 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, LivaNova would cost about $106.61 a share, $6.1B for all its shares.
Updated Nov 8, 2026. Read automatically from SEC filings and public data; errors are possible. Not investment advice.