NewCo Holdings Illustrative IPO Model · Investor Dashboard
OFFER $20.00 ($18–$22) PRICING 30‑JUN‑2026 POST‑IPO SHARES 98.4M
Growth & margin Revenue mix Cash & balance sheet IPO mechanics Valuation Sensitivity & scenarios
All model integrity checks pass · 8‑year build, FY2023A–FY2031E

Eight years of NewCo, from three actual years to the IPO price.

Revenue compounds ~12%/yr while EBITDA margin expands from 9% to 29% as the mix shifts from Product to Subscription. The IPO raises $263.4mm of net proceeds at a $20.00 offer price — this page lays out the growth story, the transaction mechanics, and whether $20 looks cheap or rich against comps, precedents, and DCF.

01 · Growth & profitability

Revenue compounds while margins expand

Revenue growth decelerates into the IPO (seasonality-driven, +4–5% in FY26–27) then re-accelerates as Subscription scales. Every point of growth converts increasingly into EBITDA as the cost base leverages.

02 · Revenue composition

Product gives way to Subscription

Product falls from 55% to 37% of revenue as Subscription rises from 30% to 49% — the mix-shift underneath the margin story above. Services holds a steady ~14%.

03 · Cash generation & balance sheet

From modest FCF to a well-capitalized balance sheet

Unlevered FCF nearly triples FY25→FY31 with conversion settling near 85% of EBITDA. Net debt flips to a deep net-cash position at the IPO, when $263.4mm of primary proceeds hits the balance sheet.

04 · IPO transaction mechanics

Who owns what, and where the money goes

14.38mm new primary shares (incl. a 15% over-allotment) plus 3mm secondary shares from existing holders. Existing holders are diluted 19%; the company nets $263.4mm after fees.

05 · Valuation — is $20 the right price?

The offer sits inside every methodology’s range

Trading comps point low ($14–17), DCF points slightly above the offer ($25–30), and precedent M&A transactions — which carry a control premium — point well above ($30–38). The $20.00 offer price lands inside the filing range and below intrinsic (DCF) value.

06 · Sensitivity & scenarios

How the price moves with the assumptions

DCF value per share against WACC and terminal growth; trading-comps value against FY31 revenue and margin. The ring marks the model’s base-case assumption. Toggle Bear/Base/Bull above to see FY2031 outcomes.