Filing Flows › Weatherford International (WFRD) › Takeover & LBO
Is Weatherford International (WFRD) a takeover target?
A leveraged buyout at today's price plus 30% ($117.82 a share) would return a loss of about 3% a year to a private-equity buyer over 5 years; the most a buyer could pay for a 20% return is $73.26 a share (−19% against today's $90.63).
The buyout, step by step
| Entry | Amount | How |
|---|---|---|
| Offer price a share | $117.82 | today's $90.63 plus 30% |
| × shares | 72.2 million | |
| = Equity value | $8.5B | |
| + Debt refinanced | $1.4B | |
| − Cash | $1.2B | |
| + Other claims | $36.0M | preferred stock, minority interests |
| = Enterprise value | $8.8B | 10.1× EBITDA of $867M |
| Fees | $176M | 2% of the price |
| New debt | $4.8B | 5.5× EBITDA at 7.65% a year; the limit that binds: 5.5× EBITDA |
| Buyer's own money | $4.2B | 47% of the cost |
5 years under the buyer
| Year | Revenue | EBITDA | Interest | Free cash flow | Debt left |
|---|---|---|---|---|---|
| Year 1 | $4.5B | $841M | $365M | $266M | $4.5B |
| Year 2 | $4.5B | $828M | $344M | $275M | $4.2B |
| Year 3 | $4.5B | $828M | $323M | $294M | $3.9B |
| Year 4 | $4.5B | $841M | $301M | $315M | $3.6B |
| Year 5 | $4.7B | $866M | $277M | $347M | $3.3B |
The exit and the buyer's return
| Exit | Amount | |
|---|---|---|
| Exit multiple | 7.9× EBITDA | today's trading multiple, before any premium |
| Enterprise value at exit | $6.8B | |
| − Debt left | $3.3B | |
| = Buyer's equity | $3.6B | |
| Money multiple | 0.85× | on $4.2B put in |
| Buyer's yearly return (IRR) | −3.3% |
Price against return
What the buyer makes at other premiums over today's $90.63; the IRR reaches 20% at $73.26 a share.
| Premium | Price a share | Buyer's IRR |
|---|---|---|
| 10% | $99.69 | 4.4% |
| 20% | $108.76 | 0.1% |
| 30% | $117.82 | −3.3% |
| 40% | $126.88 | −6.1% |
| 50% | $135.94 | −8.5% |
The figures used
| Figure | Amount | |
|---|---|---|
| Revenue, last 12 months | $4.7B | |
| EBITDA, last 12 months | $867M | 18.5% of revenue |
| Depreciation and amortization | $285M | |
| Capital spending | $192M | |
| Debt | $1.4B | |
| Cash | $1.2B | |
| Share price | $90.63 | 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 -3.0% 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 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, Weatherford International would cost about $126.88 a share, $9.2B for all its shares.
| Premium | % | Price a share | All shares |
|---|---|---|---|
| Low end (a quarter of deals paid less) | 14.7% | $103.95 | $7.5B |
| Median | 40% | $126.88 | $9.2B |
| High end (a quarter paid more) | 60.2% | $145.19 | $10.5B |
Weatherford International's latest quarter
Weatherford International, Q3 2026: revenue $1.1B (-7% year over year), operating margin 13.4%, net earnings $120M, operating cash flow $192M. The chart follows the revenue to costs, profit and cash.
Questions
Is Weatherford International being acquired?
No headline, 8-K or 13D about a sale is on file in the last year.
Could private equity buy Weatherford International?
A leveraged buyout at today's price plus 30% ($117.82 a share) would return a loss of about 3% a year to a private-equity buyer over 5 years; the most a buyer could pay for a 20% return is $73.26 a share (−19% against today's $90.63).
What would a takeover of Weatherford International 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, Weatherford International would cost about $126.88 a share, $9.2B for all its shares.
Updated Nov 8, 2026. Read automatically from SEC filings and public data; errors are possible. Not investment advice.