How valuation applies to corporate and private equity investments?
0:00hello good afternoon from also in the UK welcome to wherever you are I know that
0:07we have a pool of this webinar from different countries around your Africa
0:14America it’s time again for taking the time to join us
0:21so today we have a webinar with the rest of us and you’ll be talking about a
0:32valuation by a corporate equity investments and also going through the
0:38timetables which will run twice this year and April 3rd June so this is a
0:48relatively new Executive Program the Business School and booze launched two
0:59years ago now we have run the program three times in the UK has been very
1:03popular and successful including having a significant number of people flying
1:08urs so therefore we have decided to to this and the USA as well to make the
1:17audience ice based in that region so people who come on a program that every
1:23corporate finance and investment space so we have invested as managers we have
1:31lawyers we have accountants fighters but the largest contingent group of people
1:36who take parts come from corporates and businesses find us downright strategy
1:44area looking at restructuring acquisitions and mergers and want to get
1:51more and thats so typically spends about 10 15 years experience
1:59an MBA or have qualified as an accountant finance exams so it’s quite
2:06bands in that we recognize that we recognize that we will take one step
2:12beyond the scene to go to tackle some of the complexities issues thrown out in
2:21the real world so when she stepped away
2:23ideal world models and theories so we’re going to hear a number of taste it is
2:29with partners from banks and private antitrust will show details about with
2:37us in just a moment I’m so the Prime Outlets afternoon is that address will
2:42go through his will take about 20 minutes or so there will be an
2:49opportunity to ask any questions on your screen you will see a person that please
3:00type in any questions as we go through as they occur to you and then we will
3:05lose background those questions about the presentation and areas or about the
3:15program will be very welcome so please feel free to argue over now to address
3:23on july is the program director for this program will take you through much for
3:30joining us this station is the bomb
3:37program
5:50differences between corporate and investment valuation in the corporate
6:31valuation think IPOs in publicly or privately operated mini in investment
6:38valuation
6:39totally different you’re limiting growth capital venture LBO distress and
6:45infrastructure and when you’re investing investing in a company or when you’re
6:51rooting corporate valuation usually comes in this kind of gasped and which
6:56discount window huge investment valuation is driving this year is
7:05necessary
7:08black as we discussed its comparables trading companies transaction or
7:18transactions that have taken place in the market
7:20company performance especially in the discounted cash flow we have the white
7:25and they had us straight equity envelope infrastructure infrastructure we have
7:42added in water now is related to how can financing structures they affect my wish
7:50the capital structure in effect which would want to know what type of debt was
7:58the pricing of the debt will investigate to decide ordinary shares
8:02a secured loan you can go racing announced singer junior secondary
8:12emission in the victims you can go to the bond market raising senior secured
8:17or unsecured bond you can get combinations and then he shares or
8:23participation in structuring one small part of your investment to be with
8:30ordinary percent of the voting rights but for tax purposes of your own
8:37instruments or bowls if we have to take a minority position in the company
8:52investing on what you need to know before you buy now will be a capital
8:57increase will usually yourself but it will be settled the liquidity will sell
9:01shares your investment will be on pre or post will be invested with equity or
9:11possible combination to share your opinion and mister bush only exit will
9:26confirm or you will not convert to take a minority position will be filled
9:32principally recess in which case and if you will
9:38triggers for the management incentive plan and it will be an option Spanish
9:44retail participation in which and the value creation try personal growth
9:49capital investment isn’t the comps
9:52we trust each other by radiation drivers that they affect evaluation then you can
10:02buy companies that they want to sell majority and you need to know before you
10:12will find us
10:14first thing that your thing is how much they’re back in the race for debt
10:20what’s a quantum of debt was surprised with how we spend the feasts are
10:37financier delivered a miner’s face is it there with all due respect the face
10:42between banks and the fund to the banks accept refinancing risk can make free
10:51calls to my confidence was discovered that the banks they are prepared to give
10:58me 1.3 or 1.6 depending which 1.3 to 1.6 will change the type of debt the quantum
11:07of the address changing Department deputy can arrange for the same
11:11enterprise value less honorable man I think we accept the new capitulation in
11:33which sex with a minor in it there any triggers linked with my returns to our
11:43distributions after we went on the vibrations drunk drivers leveraging
11:53tries grows which are divine creation drivers that their districts distressed
12:02supporting a friend is in the Castro or balance it alone to control or not
12:12transaction how we define value break where it’s breaking the one in how we
12:18could be recovered by investing in a distressed do we use the undervaluation
12:24metals like this message that we need to take into consideration and altogether
12:34the football field
12:35deciding if they are said to be restructured structure and they will
12:46likely between themselves it will become an ultrasound will be dead by back it
12:51will be a debt-to-equity swap you capital financing will the sponsor been
12:56halted in this discussion last are investing in a green field project that
13:06means you built from Syria something or you’re acquiring operating
13:11Banksy through airports are you building a network from the beginning I raising
13:16project
13:18interest is driving it will be
16:22Yorkshire government program you know as we discuss you can download the brochure
16:29you can see they say are people from diverse geography some we have a limited
16:36number of people that we we we don’t make a big number of people who wants to
16:42have the opportunity to the time to ask more questions
16:50interact and network with classmates and we thought the speakers 8248 limited
17:05number of people that we aren’t meeting a role in patients for a broad in
17:10Chicago in June
17:12there from different companies you can see from various banks marian’s go on
17:23like they would like to describe the structure of the program because I think
17:45its unique there is not any other business school in the war that the
17:49shopping what we are off and we are often the theory by faculty of Chicago
17:56next decade deluxe box netscape that is an expert Steve Caplin that is probably
18:01one of the most famous people in venture capital to finance faculty teaching
18:07myself we have 10 executives that they’re all partners managing director
18:12simply investment bank’s corporate finance and we have discussions by all
18:16night that they’re seeing early this channel which bank are the head of
18:20government here Obama said the british Foreign that are coming in Europe are
18:27coming to discuss internet we will introduce valuation
18:33second day we talk about them in a certain way we do a structure for days
18:39venture capital more technology Growth Capital family businesses will continue
18:48with distress infrastructure and real estate and then there are the cases by
18:54politicians we have the full year collection during part of the blue part
19:01of the left side with people from Goldman Sachs merchant banking
19:09Bridgepoint center if you are coming out of prison I we going more details about
19:16line on this we have the titrations as we discussed spring in Chicago
19:23cases and there will be more towards United States deals they cases and
19:30concepts in hospital will be more European Middle East we will not said
19:38the same places the two sides of the pan and I can describe late lets it out
20:00the first day the deputy of Chicago will discuss with you about discounted cast
20:08iron in multiple strokes and now we’re discussing the evening how couples
20:15fucking about debt and equity and fairness Tuesday the head of Europe
20:22center hall Center Rd their costs will discuss a minute and then we will do
20:30some cases in such mergers and acquisitions and spin now all the
20:39different cases you mean a different way we will discuss the merger between Kraft
20:49Kraft we will discuss them
20:52corporate acquisition we will discuss another cross-border
20:59remaining transaction transaction in Africa now with a pro-child the global
21:09head of former director in the american company bank company in Greece
21:22top price fifteen times when Greece’s is ready to go outside
21:30was there is clear 842 million in their development topics factory how do you
21:51how do you included an evaluation which include them the final price
22:05concepts that they are rich then I will introduce Tuesday I’ll be over
22:11the theory that we continue we had a moderate exercise would be divided into
22:17groups and then its troops you have to offer the highest price
22:21company based on the backs of their stories based on a fixed charges based
22:34on minimum return it will be a great exercise is key to building the constant
22:45threat it’s a group that would continue with MLB investigation the justice
22:54sector in my apartment then we will continue with this trestle structuring
23:05the global head first luxury golden promise I will vary with me with how
23:16distressing structure is defined in USA and Europe and then we came from a case
23:22will cover it stressed Thursday morning with have stepped up to convert a
23:30venture capital valuation of three series of cases and all the main
23:34concepts structuring our Terms and technology sectors with generous tax in
23:48afternoon are we are offered their infrastructure evaluation section
23:52because it was a question
24:00percent where we can farm and infrastructure investment gains by
24:05Goldman Sachs met on banking it was in a recession banking
24:14and will be at the same time difference in Europe and we will do
26:22growth capital valuation that means non-contact but more minority positions
26:29in on tech companies and their last day will be on it is exactly the same
26:41and cases of the technical aspects evaluation and about a program that is
26:53giving a vision Council tonight we will provide two packs one pack will be the
26:59theory 700 pages and other back seven hundred pages they’re not have a
27:04business cases they have a different way it is
27:10to clients by the banks finds that we apply presentations rothschild daily in
27:21their work in the under way that the analyzed that like investment credit
27:26papers in apartment and then we would all the more modest growth at venture
27:38capital for distress for infrastructure some of them will use them in class
27:42some of them you will get them out and they can apply at work because when
27:47you’re really not normally would not only interact with people that there
27:51will be a future network but at the same time do not apply that knowledge with
27:57all this more than that you will take with your new axe 1,500 pages that you
28:03will now take any questions regarding the program or regarding racial the
28:20first
28:20the timetable for the problem and I don’t see a case study in infrastructure
28:24asset class essay discusses his account there will be investment it’s an
28:30electricity tax return banking during late for such
28:39I will ask if we had a case from another perspective in the cruise capital
28:54whatever we discuss its a blind everywhere what it means everything to
29:00invest but mainly equity investments you don’t use your debt
29:06acquiring assets or some infrastructure was used to be the head of it is also a
30:17range of information we their music
30:26and as we’ve discussed we don’t hang out with you know we have a very limited
30:31number of seats from the time that you will be made in the course and you will
30:38see which and central or we can provide you can provide you all the material
30:44means you can do it we were seven online sexual
30:52guidelines out of 23 rating and at the same time . is between the time that you
31:03see the materials before we start the group of people during the course that
31:08will give you more guidance yes we did it with their plight
31:19just it’s better to prayer in the materials before and come and go to
31:26incite the class to come inside the classes civil this information what is
31:33the size of the class decided to the class will be 42 people max will not go
31:39more we can’t 52 people you know the last time we thought that they were too
31:43many people we go to forty we need you to have the option to ask a lot of
31:48questions to customize the content to you that means we cannot go in session
31:56and forty is a good group sides kissimmee is that we have a good
32:03critical mass so that people can learn from each other again built a network
32:08but it’s also small enough to get you to talk with the program directors will be
32:18another senior investment bank to private managers will join us during
32:24dinner together with the speakers they were to blend into network for life
32:40he said if you will ask any other question the next five minutes otherwise
32:48question please contact Steve can answer any questions you have the outlines you
32:55can see all the details on the west end in sight but you can visit during the
33:03private equity for that will take place on February 29 and Blackstone KKR
33:19presented in networking with no more of course you can join us February 16 now
33:26in march 15 in London that we have not discussed that will change our children
33:37and some cases sat down and talked about this event and there will be another
33:46weapon on it does not it would be a different presentation will be like a
33:52step up in class that if there’s no question and feel free to join us
34:05not altogether discussions in London next webinar or private equity for the
34:13address so that all the information is also mentioned a series of this age if
34:30you go to the nation its Sites page and you’ll be able to stay a series of short
34:39videos
34:41mainly with guest speakers who will be speaking gain we have
34:51child deaths Goldman Sachs which might we will send you an email to follow
35:02today so thank you very much for taking part we are taking registrations for the
35:11two sessions of those 22 and April will be in Chicago Bulls till the 8th of
35:21April May and in June we will be here in Oxford until the seventies you can apply
35:29online now if you have any further questions at all either tration please
35:35reply if you have a discount if you are planning more fun to go and see barry
35:57thank you undress I’m looking forward to see ya I’m too we will hopefully see you
36:19and Chicago in April or June
