GS Acquisition Holdings Corp II (GSAH) WACC Analysis

As of June 12, 2025, GS Acquisition Holdings Corp II (GSAH) carries a Weighted Average Cost of Capital (WACC) of 8.0%. WACC reflects the blended rate GS Acquisition Holdings Corp II must pay to both equity and debt holders.

Within that, the cost of equity is 9.4%, the cost of debt is 5.0%, and the effective tax rate is 0.6%.

Breakdown of WACC Components

• Long-term bond rate: 3.2% – 3.7%
• Equity market risk premium: 4.2% – 5.2%
• Adjusted beta: 1.47 – 1.62
• Additional risk adjustment: 0.0% – 0.5%
• Debt-to-equity ratio: 1

What It Means for Investors

With a selected WACC of 8.0%, GS Acquisition Holdings Corp II must ensure any new investment returns exceed this threshold to generate shareholder value. This level reflects a moderate financing cost structure.