I see that a lot of people struggle with the term enterprise value. It might make sense to think about this in terms of housing and mortgages. You can say that

I see that a lot of people struggle with the term enterprise value. It might make sense to think about this in terms of housing and mortgages. You can say that the total value of a house is the mortgage + equity. When you take out a loan on a house, the value of the house does not change. Just the proportion of mortgage vs. equity.