Daily News: July 19, 2013

CFO: Cheap Debt Drives Up LBO Valuations

CFO reported that despite a sluggish M&A market, leveraged buyout valuations hit their highest level in more than a year in June.

CFO noted that in the 79 U.S. LBO deals tracked by S&P Capital IQ last month, acquirers valued the target company at an average 21.4 times trailing 12-month EBITDA — more than double May’s number and the highest average multiple since April 2012.

To read the full CFO article click here.