Filing Flows › Quanta Services (PWR) › Takeover & LBO
Is Quanta Services (PWR) a takeover target?
A leveraged buyout at today's price plus 30% ($661.78 a share) would return about 1% a year to a private-equity buyer over 5 years; the most a buyer could pay for a 20% return is $340.59 a share (−33% against today's $509.06). At $105.8B it would be larger than any buyout on record (the model flags anything over $60 billion), so this is a thought experiment more than a prospect. Historically 2.2% of companies with its figures were bought within a year (0.44× the average).
The buyout, step by step
| Entry | Amount | How |
|---|---|---|
| Offer price a share | $661.78 | today's $509.06 plus 30% |
| × shares | 152.7 million | |
| = Equity value | $101.0B | |
| + Debt refinanced | $7.0B | |
| − Cash | $2.3B | |
| + Other claims | $86.2M | preferred stock, minority interests |
| = Enterprise value | $105.8B | 29.0× EBITDA of $3.6B |
| Fees | $2.1B | 2% of the price |
| New debt | $20.1B | 5.5× EBITDA at 7.65% a year; the limit that binds: 5.5× EBITDA |
| Buyer's own money | $87.9B | 81% of the cost |
5 years under the buyer
| Year | Revenue | EBITDA | Interest | Free cash flow | Debt left |
|---|---|---|---|---|---|
| Year 1 | $40.3B | $3.9B | $1.5B | $837M | $19.2B |
| Year 2 | $43.0B | $4.2B | $1.5B | $1.1B | $18.2B |
| Year 3 | $45.4B | $4.4B | $1.4B | $1.3B | $16.9B |
| Year 4 | $47.3B | $4.6B | $1.3B | $1.5B | $15.3B |
| Year 5 | $48.7B | $4.8B | $1.2B | $1.8B | $13.6B |
The exit and the buyer's return
| Exit | Amount | |
|---|---|---|
| Exit multiple | 22.6× EBITDA | today's trading multiple, before any premium |
| Enterprise value at exit | $107.7B | |
| − Debt left | $13.6B | |
| = Buyer's equity | $94.2B | |
| Money multiple | 1.07× | on $87.9B put in |
| Buyer's yearly return (IRR) | 1.4% |
Price against return
What the buyer makes at other premiums over today's $509.06; the IRR reaches 20% at $340.59 a share.
| Premium | Price a share | Buyer's IRR |
|---|---|---|
| 10% | $559.97 | 5.5% |
| 20% | $610.87 | 3.3% |
| 30% | $661.78 | 1.4% |
| 40% | $712.68 | −0.3% |
| 50% | $763.59 | −1.9% |
The figures used
| Figure | Amount | |
|---|---|---|
| Revenue, last 12 months | $37.3B | |
| EBITDA, last 12 months | $3.6B | 9.8% of revenue |
| Depreciation and amortization | $1.1B | |
| Capital spending | $913M | |
| Debt | $7.0B | |
| Cash | $2.3B | |
| Share price | $509.06 | 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 23% 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, Quanta Services would cost about $712.68 a share, $108.8B for all its shares.
| Premium | % | Price a share | All shares |
|---|---|---|---|
| Low end (a quarter of deals paid less) | 14.7% | $583.89 | $89.2B |
| Median | 40% | $712.68 | $108.8B |
| High end (a quarter paid more) | 60.2% | $815.51 | $124.5B |
The odds, from history
Historically 2.2% of companies with its figures were bought within a year (0.44× the average). Its figures put it in decile 1 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.
Quanta Services' latest quarter
Quanta Services, Q3 2026: revenue $12.0B (+57% year over year), operating margin 8.5%, net earnings $695M, operating cash flow $1.5B. The chart follows the revenue to costs, profit and cash.
Questions
Is Quanta Services being acquired?
No headline, 8-K or 13D about a sale is on file in the last year.
Could private equity buy Quanta Services?
A leveraged buyout at today's price plus 30% ($661.78 a share) would return about 1% a year to a private-equity buyer over 5 years; the most a buyer could pay for a 20% return is $340.59 a share (−33% against today's $509.06). At $105.8B it would be larger than any buyout on record (the model flags anything over $60 billion), so this is a thought experiment more than a prospect.
What would a takeover of Quanta Services 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, Quanta Services would cost about $712.68 a share, $108.8B for all its shares.
Updated Nov 8, 2026. Read automatically from SEC filings and public data; errors are possible. Not investment advice.