Business Valuation Training Course
The Advanced Business Valuation training course is a two day programme that teaches delegates to prepare robust business valuations in the context of a corporate mergers and acquisitions transaction.
This business valuation training course takes delegates with a basic understanding of the techniques used to value companies beyond the stage of plugging numbers into a series of standard spread sheets. Emphasis is placed on understanding risks, synergies and deal structure in order to fully understand the returns on a transaction, and how the quality of the target company impacts the price actually paid.
The course makes extensive us of case material drawn from real life mergers and acquisitions transactions. As well as introducing the real world challenges faced when valuing a company, the case studies help delegates think through the dynamics of price and value in a competitive situation.
The Advanced Business Valuation course is taught by tutors with practical experience of preparing business and strategic valuations as part of senior management teams within multinational companies, not by academics or professional advisors. This means that the course, as well as being academically rigorous, is rich with real world material drawn from our tutor’s own experiences.
Level: Intermediate to Advanced
CPD: 14 CPD hours
Note: Delegates new to business valuation have access to a pre-course learning pack that introduces the key concepts of business valuation. Completion of the pre-course pack, and the associated test, earns a further 4 CPD hours.
London: November 5-6, 2018 / December 3-4, 2018 / January 10-11, 2019 / February 11-12, 2019 / March 11-12, 2019
Dubai: November 14-15, 2018 / January 16-17, 2019 / April 10-11, 2019
Singapore: Contact MTI for upcoming dates.
London: £1500 plus VAT (20%) Note: Delegates from outside the European Union can reclaim VAT.
London: Institute of Directors, Pall Mall, central London
Dubai: Hyatt Regency, Dubai, United Arab Emirates
Singapore: Grand Hyatt Singapore, Singapore
Delegates learn how to:
Prepare valuations that take full account of the commercial context of a transaction.
Master the three main approaches to company valuation:
- Discounted cash flow;
- Market multiples;
- Asset valuation.
Find the right information in published accounts and sale memoranda for business valuation.
Prepare realistic estimates of synergies and use them to calculate total deal returns.
The use of due diligence findings to refine valuations.
Prepare valuations from the perspective of different types of buyers to assist price negotiations. Recognise and avoid the potential for overpaying.
Business Valuation Overview
The three main approaches to business valuation;
Valuation in a commercial context;
The importance of strong valuation disciplines
Mathematical foundations of discounted cash flow (DCF) methods:
- Net present value (NPV);
- Internal rate of return (IRR);
- Terminal values;
Weighted Average Cost of capital;
Valuing equity and debt;
Understanding enterprise value.
Financial Information for Valuation
The main types of financial information for valuation;
Removing distortions and identifying underlying profit;
Spotting creative accounting and overly aggressive forecasts;
Re-forecasting income statements and balance sheets;
Arriving at the correct cash flow and profit measure for each valuation approach.
Discounted Cash Flow Methods
Presenting the DCF calculation;
Deciding which cash flows are relevant;
How to include tax and inflation in the calculation;
How to reflect risk in the calculation;
Equity and enterprise value models.
Valuation by Multiples
Profit based multiples;
Other multiple methods;
Calculating multiples for listed and unlisted companies;
Calculating multiples for deals;
Reflecting leverage (gearing) in the calculation.
Asset Based Valuations
The main elements of an asset based valuation;
Common problems with asset based valuations.
Strategic Deal Value
How to put a value on synergies;
Formats for a strategic value calculations;
Reflecting deal and integration costs in a valuation.
The Commercial Context of Valuation
How to weight valuation calculations for qualitative issues;
Making a judgement of strategic fit;
The differing perspectives of financial and strategic buyers;
The impact of a competitive process on value and price;
Understanding intrinsic, strategic and strike prices;
The evolution of valuation at different steps in the acquisition process;
Recognising the signs of overpaying.
Inputs From Due Diligence
Addressing valuation information needs in due diligence;
Feeding due diligence findings into valuation models;
Reflecting the impact of risks identified in due diligence on projected deal returns;
Information requirements to assess integration risks and costs.
Report Formats Business Valuation Findings
Structured business valuation report format;
Presenting risks and commercial context in the valuation report;
Remaining objective and handling the internal politics.
This courses has been developed for directors and senior managers involved in mergers and acquisitions who require a thorough understanding of the main methods of company valuation:
- Chief Financial Officers, Finance Directors, Financial Controllers and Finance Managers;
- Corporate Development Officers and Directors;
- Members of corporate M&A or corporate finance teams;
- Corporate financiers, accountants and other advisors.
Here are just a few of the global corporations that have sent senior executives to the Advanced Business Valuation training course:
Here are just a few of the positive reviews for the Mergers and Acquisitions Core Skills training course from senior executives:
“The personal credibility of the tutor was crucial to the course. It is obvious he is very experienced indeed in M&A activities and this brings real relevance to the training. His ‘war stories’ bought the training alive.”
VP Strategic Development, Ericsson“
The training was very useful and informative. The course covered theory with practice. We had chances to discuss and ask the particular questions during the course which made it quite flexible.”
Business Development Manager, ABB Turbo Systems
“An excellent course. Just what I needed to get me started in this new area of expertise. The practical examples and a host of useful tools to use in future deals, plus the obvious real world experience of the tutor, were especially impressive.”
Commercial Manager, Dong Energy