Filing Flows › Zevra Therapeutics (ZVRA) › Takeover & LBO
Is Zevra Therapeutics (ZVRA) a takeover target?
A leveraged buyout at today's price plus 30% ($13.40 a share) would return about 19% a year to a private-equity buyer over 5 years; no price, however low, gets a buyer to 20%.
The buyout, step by step
| Entry | Amount | How |
|---|---|---|
| Offer price a share | $13.40 | today's $10.31 plus 30% |
| × shares | 61.7 million | |
| = Equity value | $827M | |
| + Debt refinanced | $0 | |
| − Cash | $222M | |
| = Enterprise value | $606M | 6.6× EBITDA of $91.3M |
| Fees | $12.1M | 2% of the price |
| New debt | $394M | 4.3× EBITDA at 7.65% a year; the limit that binds: 65% of the price |
| Buyer's own money | $224M | 36% of the cost |
5 years under the buyer
| Year | Revenue | EBITDA | Interest | Free cash flow | Debt left |
|---|---|---|---|---|---|
| Year 1 | $160M | $98.6M | $30.1M | $58.4M | $335M |
| Year 2 | $170M | $105M | $25.7M | $68.3M | $267M |
| Year 3 | $180M | $111M | $20.4M | $78.1M | $189M |
| Year 4 | $187M | $116M | $14.5M | $87.6M | $101M |
| Year 5 | $193M | $119M | $7.8M | $96.8M | $4.6M |
The exit and the buyer's return
| Exit | Amount | |
|---|---|---|
| Exit multiple | 4.5× EBITDA | today's trading multiple, before any premium |
| Enterprise value at exit | $542M | |
| − Debt left | $4.6M | |
| = Buyer's equity | $537M | |
| Money multiple | 2.40× | on $224M put in |
| Buyer's yearly return (IRR) | 19.1% |
Price against return
What the buyer makes at other premiums over today's $10.31.
| Premium | Price a share | Buyer's IRR |
|---|---|---|
| 10% | $11.34 | 29.8% |
| 20% | $12.37 | 24.3% |
| 30% | $13.40 | 19.1% |
| 40% | $14.43 | 14.1% |
| 50% | $15.46 | 9.3% |
The figures used
| Figure | Amount | |
|---|---|---|
| Revenue, last 12 months | $148M | |
| EBITDA, last 12 months | $91.3M | 61.8% of revenue |
| Depreciation and amortization | $1.5M | |
| Capital spending | $775K | |
| Debt | $0 | |
| Cash | $222M | |
| Share price | $10.31 | on Oct 28, 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, Zevra Therapeutics would cost about $13.92 a share, $859M for all its shares.
| Premium | % | Price a share | All shares |
|---|---|---|---|
| Low end (a quarter of deals paid less) | 22% | $12.58 | $776M |
| Median | 35% | $13.92 | $859M |
| High end (a quarter paid more) | 45% | $14.95 | $923M |
Zevra Therapeutics' latest quarter
Zevra Therapeutics, Q3 2026: revenue $37.8M (+45% year over year), operating margin 30.7%, net earnings $19.2M, operating cash flow $10.0M. The chart follows the revenue to costs, profit and cash.
Questions
Is Zevra Therapeutics being acquired?
No headline, 8-K or 13D about a sale is on file in the last year.
Could private equity buy Zevra Therapeutics?
A leveraged buyout at today's price plus 30% ($13.40 a share) would return about 19% a year to a private-equity buyer over 5 years; no price, however low, gets a buyer to 20%.
What would a takeover of Zevra Therapeutics 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, Zevra Therapeutics would cost about $13.92 a share, $859M for all its shares.
Updated Nov 8, 2026. Read automatically from SEC filings and public data; errors are possible. Not investment advice.