EdtechX Holdings Acquisition Corp II (EDTXU) WACC Analysis

As of June 6, 2025, EdtechX Holdings Acquisition Corp II (EDTXU) carries a Weighted Average Cost of Capital (WACC) of . WACC reflects the blended rate EdtechX Holdings Acquisition Corp II must pay to both equity and debt holders.

Within that, the cost of equity is 7.4%, the cost of debt is 5.0%, and the effective tax rate is .

Breakdown of WACC Components

• Long-term bond rate: 1.8% – 2.3%
• Equity market risk premium: 4.2% – 5.2%
• Adjusted beta: 1.33 – 1.57
• Additional risk adjustment: 0.0% – 0.5%
• Debt-to-equity ratio: 1

What It Means for Investors

With a selected WACC of , EdtechX Holdings Acquisition Corp II must ensure any new investment returns exceed this threshold to generate shareholder value. This level reflects an attractive low cost of capital.