DCF

Step 1
Equity Debt D/E Beta
Axel Mobile 118497 69130 0.583 0.86
Wills Wireless 189470 79351 0.419 0.89
Agile Moblie 21079 5080 0.241 1.17
Big Mobile 26285 8335 0.317 0.97
Rocky Comm 7360 3268 0.444 1.13
Average 0.401 1.004
Weighted Avg 0.455 0.907

Step 2 Unlevering the beta FCFF Calculation

1 + (1-t)*D/E 1.273
Un-levered Beta 0.712 EBIT
Tax Rate
Step 3 Re-levering the beta Capital Expenditure
1 + (1-t)*D/E 1.48 Change in WC
Re-levered Beta 1.054 FCFF - D&A
D&A
Step 4 WACC Calculation FCFF
Ke Rate 0.134
WACC 0.091 Revenue
Equipment Revenue
Systems Operating Ex
Equipment COGS
Selling, General & Ad
D&A
EBIT

Monthly Subscribers
Average Monthly Min
Revenue Per Minute (
Revenue Generated
Revenue Generated (i

Backhaul Costs
Savings

Adjusted Projections

Revenue
Equipment Revenue
Systems Operating Ex
Equipment COGS
Selling, General & Ad
D&A
EBIT
DCF

329011.4
165151.905

CFF Calculation FCFF Growth Rate

2017 2018 2019 2020 2021 17-18

418 443 617 739 846 18-19
0.4 0.4 0.4 0.4 0.4 19-20
631.3 719.7 867.4 970.1 1055 20-21
30 20 20 18 14
-410.5 -473.9 -517.2 -544.7 -561.4 Average
705 804 867 922 953
294.5 330.1 349.8 377.3 391.6

4194 4728 5379 5917 6332

315 359 404 444 475
838.9 956.3 1075.8 1183.4 1266.3
755.5 861.2 968.9 1065.8 1140.4
1804 2056 2313 2545 2723
705 804 867 922 953
405.6 409.5 558.3 644.8 724.3

300000 500000 700000 1000000 1200000

859 885 911 939 967
0.0506 0.0506 0.0506 0.0506 0.0506
13039620 22390500 32267620 47513400 58716240
13.040 22.391 32.268 47.513 58.716

209.725 239.075 268.95 295.85 316.575

0 11.95375 26.895 47.040 63.315

2017 2018 2019 2020 2021

4207.040 4750.391 5411.268 5964.513 6390.716
315 359 404 444 475
 838.9 944.34625 1048.905 1136.360 1202.985
755.5 861.2 968.9 1065.8 1140.4
1804 2056 2313 2545 2723
705 804 867 922 953
418.640 443.844 617.463 739.354 846.331

1799.331 13937.61979
13024.19145
14155.43647
FCFF Growth Rate

12.088%
5.968%
7.862%
3.790%

6.000%

33%

0.329711375
0.082427844

13553.45054

8768.516478
 Comparable Compan
Equity Debt Debt/Value Value D/E
Axel Mobile 118497 69130 0.363 190440.771 0.583
Wills Wireless 189470 79351 0.295 218597.796 0.419
Agile Moblie 21079 5080 0.194 13994.490 0.241
Big Mobile 26285 8335 0.241 22961.433 0.317
Rocky Comm 7360 3268 0.307 9002.755 0.444
Average 0.401
Weighted Avg 0.455

Target Company Valuation

Valuation using EBITDA Min -1086.72496

Max 14570.48773
Valuation using EBIT Min 7074.63094
Max
Valuation using Revenue Min
Max
arable Company Analysis - Airlead
Enteprise Value Multiples
Beta Revenue EBIT EBITDA EV/EBITDA EV/EBIT EV/Revenue
0.86 43882 11795 16949 11.236 16.146 4.340
0.89 42684 7020 14099 15.504 31.139 5.121
1.17 34698 1631 9914 1.412 8.580 0.403
0.97 38896 6702 12614 1.820 3.426 0.590
1.13 4064 510 1028 8.758 17.652 2.215
1.004 7.746 15.389 2.534
0.907
Min 1.412 3.426 0.403
Max 15.504 31.139 5.121
Median 8.758 16.146 2.215