Company: CWAN
Filing Date: 2025-03-06
Form Type: S-4/A
Source: 0001193125-25-048570
Chunk: 148

Company: Clearwater Analytics Holdings, Inc.
Filing Date: 2025-03-06
Form: S-4/A
Chunk 148
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 Discounted Cash Flow Analysis. Using the Forecasts, Goldman Sachs
performed an illustrative discounted cash flow analysis on Enfusion to derive a range of illustrative present values per share of Enfusion Common Stock. Using the mid-year convention for discounting cash flows
and discount rates ranging from 11.0% to 13.0%, reflecting estimates of Enfusion’s weighted average cost of capital, Goldman Sachs discounted to present value as of September 30, 2024, (i) estimates of unlevered free cash flow for Enfusion
for the three months ended December 31, 2024, and fiscal years 2025 through 2034 as reflected in the Forecasts and (ii) a range of illustrative terminal values for Enfusion, which were calculated by applying illustrative perpetuity growth
rates ranging from 2.0% to 4.0%. The range of illustrative perpetuity growth rates for Enfusion was estimated by Goldman Sachs using its professional judgment and experience, taking into account, among other things, the Forecasts and market
expectations regarding long-term real growth of gross domestic product and inflation. Goldman Sachs derived such discount rates by application of the Capital Asset Pricing Model (“”), which requires certain company-specific
inputs, including Enfusion’s target capital structure weightings, the cost of long-term debt, after-tax yield on permanent excess cash, if any, future applicable marginal cash tax rate and a beta for
Enfusion, as well as certain financial metrics for the United States financial markets generally.

Goldman Sachs derived a range of
illustrative enterprise values for Enfusion by adding the ranges of present values it derived as described above. Goldman Sachs then added to the range of illustrative enterprise values it derived for Enfusion the amount of Enfusion’s net cash
as of September 30, 2024, and the projected net impact from tax assets and related obligations of the Company as reflected in the Tax Receivables Projections and the Tax Attribute Projections, in each case, as provided by the management of
Enfusion and approved for Goldman Sachs’ use by the Special Committee, to derive a range of illustrative equity values for Enfusion. Goldman Sachs then divided the range of illustrative equity values it derived by the number of fully diluted
outstanding shares of Enfusion as of January 7, 2025, as provided by the management of Enfusion and approved for Goldman Sachs’ use by the Special Committee, to derive a range of illustrative present values