Company: TRUE
Filing Date: 2025-11-24
Form Type: DEFM14A
Source: 0001104659-25-115451
Chunk: 118

Company: TrueCar, Inc.
Filing Date: 2025-11-24
Form: DEFM14A
Chunk 118
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 TrueCar’s estimated next twelve months (“ NTM ”) revenue and AV/NTM Adj. EBITDA multiples of 5.0x – 10.0x to TrueCar’s estimated NTM Adj. EBITDA to determine a range of implied aggregate values of TrueCar as of December 31, 2026. Morgan Stanley then calculated a range of implied equity values as of such date by adding the amount of TrueCar’s projected cash at December 31, 2026, as reflected in the Management Case Projections and the TrueCar Street Consensus Projections. Morgan Stanley then divided this range of implied equity values by the number of fully diluted shares of Common Stock as of such date, as provided by the management of TrueCar. Morgan Stanley then discounted this range of per share equity values to September 30, 2025, at a discount rate of 23.0%, which rate was selected by Morgan Stanley based on TrueCar’s estimated cost of equity (estimated using the capital asset pricing model method and based on Morgan Stanley’s professional judgment and experience). Morgan Stanley’s analysis resulted in the following implied values per share of Common Stock, rounded to the nearest $0.05:

| Benchmark                            | ​ | ​ | Price Per Share Range | ​ |
| AV/YE 2026 NTM Revenue               | ​ | ​ | ​                     | ​ |
| Management Case Projections          | ​ | ​ | $1.95 – $3.00         | ​ |
| TrueCar Street Consensus Projections | ​ | ​ | $1.65 – $2.45         | ​ |
| AV/YE 2026 NTM Adj. EBITDA           | ​ | ​ | ​                     | ​ |
| Management Case Projections          | ​ | ​ | $2.20 – $3.55         | ​ |
| TrueCar Street Consensus Projections | ​ | ​ | $1.25 – $1.65         | ​ |

Discounted Cash Flow Analysis Morgan Stanley performed a discounted cash flow analysis, which is designed to provide an implied value of a company by calculating the present value of the estimated future unlevered free cash flows and terminal value of such company. Morgan Stanley calculated a range of implied equity values per share of Common Stock as of September 30, 2025, based on estimates of future unlevered free cash flows for the last quarter of fiscal year