Syllabus
Cases in Finance & Investments
Course Description - Aims - Objectives
Description
This course will cover 4 real cases* in the areas of finance and investments. Students will receive materials (short information memorandum and historical financial model) to review as a pre-reading before the investment case analysis and discussion, each week. Students will have to analyse, prepare, model and discuss the case, their model and outcomes with the lecturer in the morning and with the presenter (bank or fund or company) in the afternoons, for the following bi weekly modules:
Section 1 - Leverage Finance Case
A Case in Leverage Finance investing in the Media sector in South Africa, 2012
Case prepared with the support of Jim Karp, Managing Director, Elias Sakellis, E. Director & Tiago Dias, Associate, Goldman Sachs
Section 2 - Mergers & AcquisitionsCase
A Case in Mergers & Acquisitions investing in the Healthcare sector in Greece, 2012
Case prepared with the support of Stefano Beschi, Managing Director & Dimitrios Iroidis, E. Director, Rothschild
Section 3 - Private Equity Finance Case (LBO and Distress)
A case in Private Equity, covering a distress scenario for the investor investing in the Retail sector in UK, 2010 (updated 2012) Case prepared with the support of Luis Duarte, Investment Director, Bridgepoint Capital
Section 4 - Project & Infrastructure Finance Case
A case in Private Equity investing in alternative energy in Italy developing a Solar Portfolio raising Project Finance and acquiring an existing portfolio raising infrastructure Finance, 2012.
Course Description - Aims - Objectives
2
Aims
The purpose of this course is to provide real case and modeling experience to students in the finance areas of:
Leverage Finance
Mergers & Acquisitions
Private Equity Finance (LBO and Distress)
Project & Infrastructure Finance based on:
Information memorandum and financial modeling analysis with the Lecturer
Case analysis & financial modeling by the students
Case presentation and interaction with industry speakers
Project development by a group of students
following the ‘Connect Theory with Practice‘ approach aiming students to acquire not only the required finance theory and understanding of the instruments and methods but also to develop their execution and modeling skills around selected topics and cases.
Course Description - Aims - Objectives
Objectives
The students will be exposed in real transactions and issues, will face the critical questions and analysis required by the industry, will develop the skills to present and interact with senior bankers and investors.
The objective of the course and the Lecturer is to provide a bi weekly exposure to the students - like during their ‘internships’ - acquiring
the required execution skills to analyse a short information memo and operational model, to structure and model an investment from a financial and legal prospective, to analyse the credit and risk side, structure the financing, value the company using various methods, present an
investment proposal summary using various financing structures, tools and models in the areas of leverage, M & A, private equity, project and infrastructure finance.
Students attending this course are interested to work as investment bankers (leverage finance, infrastructure finance, project finance, M & A, financial sponsors, research analysts, credit analysts, risks analysts etc), investors, fund managers, entrepreneurs raising capital from funds or banks, entrepreneurs acquiring other companies, corporate executives involved in the acquisition & business development strategy, CFOs, corporate lawyers, auditors, and management consultants.
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Course
Syllabus
Section 1 – Leverage Finance
Number of Shares = (EqV / Share Price)
STEP B - LOOKING THE ENTRY
EqV CO Post MV = 37.5 / (1+50%)ˆ5 = 4.9
EqV CO Pre MV = Post MV - I = 4.9 -3.5 = 1.4
Entry Net Income, Multiple
The Avusa Case in South Africa – Media Publishing sector
The Case Sector Media & Publishing
Target Co in Africa, headquartered in South Africa
UK based LBO fund is looking to raise leverage finance
The materials to review and work to prepare (in advance) A short Information Memorandum
Research reports – Capital IQ, Thomson, Bloomberg
Guidelines / Questions by Lecturer and Goldman team
Financial historical model
Leverage Finance model (template)
The analysis (morning session) with Lecturer
Present a 2 page executive summary with your findings
Discuss main case questions
Discuss main credit analysis & leverage finance concepts
The presentation and interaction (afternoon session) with the bank or fund
Jim Karp
Managing Director, Goldman Sachs
Jim is a Managing Director and the head of Leveraged Finance for Emerging Markets and Natural Resources in Europe. For the last two years, Jim has been the co-head of the European
Restructuring team and prior to that he led Goldman's Private Finance Group – a team specializing in privately placed, bespoke financing solutions for companies seeking growth capital or going through turnarounds or restructurings. From 2004 – 2007, Jim started and ran the European business of Silver Point Capital, an $8+ billion US based hedge fund focused on distressed and credit intensive investing and specialty lending. Prior to joining Silver Point, from 1994 to 2004, Jim spent 10 years at Goldman Sachs where he held various positions in both Europe and the US including Co-Head of Distressed Debt and Proprietary Investing (US and Europe), Co-Head of Global Loans (Europe) and Co-Head of European Leveraged Finance (Europe). Jim originally joined Goldman Sachs in Bank Loan Sales and Trading in 1994 after 5 years at Citibank in New York.
www2.goldmansachs.com
Goldman Sachs
Course
Syllabus
Section 2 – Mergers & Acquisitions
The Spesifar Case in Greece – Pharma sector
Rothschild
The Case
Sector Healthcare (pharma – generics)
Target Co in Greece, strong sales presence out of Greece
USA based Corporate is looking to acquire it and merge the operations
The materials to review and work to prepare (in advance) An Information Memorandum
Research reports – Capital IQ, Thomson, Bloomberg
Guidelines / Questions by Lecturer and Rothschild team
Financial historical model & valuation model (template)
The analysis (morning session) with Lecturer
Present a 2 page executive summary with your findings
Discuss main case questions
Discuss main accounting, valuation, M & A concepts
The presentation and interaction (afternoon session) with the bank or fund
Stefano Beschi
Managing Director, Rothschild
Stefano is the head of pharma in Europe having advised many UK and international clients on several cross border, multi billion public and private M & A transactions and private equity funds in
acquisitions or disposals in the healthcare sector. Stefano graduated in Business Administration from Universita Cattolica in Milano, Italy.
Dimitrios Iroidis
Executive Director, Rothschild
Dimitrios is a member of the healthcare team and has been
involved in a number of corporate and private equity transactions in Europe. Dimitris has worked on a number of privatisations, private sector sell-side and buy-side mandates as well as corporate restructuring projects such as take private transactions. He joined Rothschild from PWC, where he worked for four years and qualified as a Chartered Accountant. Dimitris graduate in Economics from University of Manchester and received an MPhil in Finance from University of Cambridge.
Course
Syllabus
Section 3 – Private Equity Finance
Bridgepoint Capital
The Case of Carluccio in UK - Food and Retail sector
The Case Sector Food & Retail
Target Co in UK
UK based LBO fund is looking to invest
The materials to review and work to prepare (in advance) A short Information Memorandum and Research reports
Guidelines / Questions by Lecturer and Bridgepoint
Financial and operational model for retail development
PE Valuation model (template)
The analysis (morning session) with Lecturer
Present a 2 page executive summary with your findings
Discuss main case questions
Discuss main PE finance concepts including the distress case
The presentation and interaction (afternoon session) with the bank or fund
Luis Duarte
Investment Director, Bridgepoint Capital
Luis Mota Duarte has over ten years of M&A experience, both on the buyside and the advisory side across industries and
geographies. Since joining Bridgepoint in 2006, he was involved in the acquisition, funding, restructuring and refinancing of several leading European businesses in various sectors. Most recent transactions include the acquisition and funding of Care UK.
Prior to joining Bridgepoint, Luis worked for Salomon Smith Barney, Goldman Sachs and GE's European Business Development team.
Luis holds an MBA (with distinction) from INSEAD, was awarded the CFA charter and has an MSC equivalent in Business
Management from Universidade Católica Portuguesa. He speaks English, German, Portuguese and Spanish.
www.bridgepoint.eu
Course
Syllabus
Section 4 – Project & Infrastructure Finance
The Case of Solar park in Italy – Alternative energy sector
Clean Energy Partners
The Case Sector Alternative Energy
Target Co in Italy
UK PE fund is looking to raise project & infrastructure finance
The materials to review and work to prepare (in advance) An Information Memorandum
Guidelines / Questions by Lecturer and CEP
Financial historical and operational model
Project & Infrastructure Finance model (template)
The analysis (morning session) with Lecturer
Present a 2 page executive summary with your findings
Discuss main case questions
Discuss main project & infrastructure finance concepts
The presentation and interaction (afternoon session) with the bank or fund
Claudio Vescovo
Investment Director, Clean Energy Partners
Claudio at BNP Paribas Clean Energy Partners covers private equity investments across 4 different technologies (wind, solar photovoltaic, biomass and small scale hydro) throughout Europe.
Prior to joining the fund, he worked in the project finance division of Fortis Bank, covering renewable energy and conventional power projects in Western and Eastern Europe. Claudio joined the bank through the international program for high potentials, which lead him working in several departments of the Group (strategy and business development, risk, principal investments) in the UK, Belgium, Italy and the Netherlands. Claudio began his career at KPMG Advisory in Milan, where he advised financial institutions in strategic decisions and risk management interventions.
Claudio holds a Master Degree in Business Administration from the University of Venice, and has worked for one year as a research assistant in Corporate Finance at the University of Trieste.
PEI |
Cases Series
In addition - after class (17:00 - 19:00), - the following 8 banks and funds will present short cases and topics linked with the 2 elective courses Capital Raising & Finance and Cases in Finance & Investments:
Oak Tree Capital, distress investment case
Goldman Sachs Infrastructure Partners, infrastructure investment case
Terra Firma, alternative energy investment case
Patron Capital, real estate investment case
Rothschild, luxury brands investment case
Houlihan Lokey, distress restructuring case
Morgan Stanley, distress investment case
Alvarez Marshal, distress restructuring case
Please see further Oxford PEI Case Series (open to PEI electives, OBN PE and OBN Finance students) run by A. Angelopoulos.
Course Assessment *
A 24 hour course from April until June 2012 with a final mark based on:
1) A group project (a team of 4 members preparing 2 elements) : ‘‘ The LBO acquisition of target Co by a Private Equity fund ’’ . The 2 elements that should be analyzed and submitted as a proposal to the committee are:
A Private Equity investment Proposal to an Investment Committee
A Private Equity Valuation Financial Model
This is simulation of a private equity transaction investing in a specific sector (Retail, Food, Consumer Goods, Healthcare, Education, TMT & Publishing, Luxury brands, Industrial & Manufacturing), choosing a target company, analyzing the potential opportunity, executing the financial analysis, structuring the financing, valuation and presenting the opportunity & risks.
The project will be prepared by a group of 4 students. It will count the 40%of the overall mark for the elective.
2) an individual final exam (a case) will count 60%of the overall mark for the elective.
Selecting the elective: The course is open to MBA/MFE/MLF students with a max of 85 students (register and audit). MLF students have the option to apply for this elective (max 25 students).
Lecturer Profile
Andreas T. Angelopoulos
Executive Director, Private Equity Institute, University of Oxford , Oxford
Andreas, 43 years old, has more than 20 years of experience in the areas of private equity and engineering specialized in the sectors of: education, healthcare, alternative energy, environment, infrastructure & real estate in Europe & USA and more than 8 years in the area of academics with the University of Oxford, Imperial College, University of Chicago and LUISS University.
Academic experience
Andreas, as an Executive Director, is leading together with Tim Jenkinson, the Academic & Faculty Director, the University of Oxford ‘s Private Equity Institute and has been lecturing at the Said Business School, since 2012.
Andreas, as an Adjunct Professor, has been lecturing Private Equity, Venture Capital and Entrepreneurship at Imperial College Business School in London, UK, The University of Chicago Booth School of Business in Chicago USA (2008 - 2010), and LUISS University’s Business School (owned by the Italian Industry Association, Confindustria) in Rome Italy, since the academic year 2005 - 2006.
Currently, he is lecturing 2 electives at The University of Oxford (Capital Raising & Finance, Cases in Finance & Investments) and runs the Oxford Finance Modeling Lab. In addition, he founded the Oxford PEI Cases Series and PEI Internship Series - run parallel with the electives - with more than 25 banks and funds, each year. He initiated the partnership between Chicago Polski and Oxford PEI leading to the annual Global Launchpad Programme for Entrepreneurs in London (http://www.polskycenter.com/globallaunchpad/london.html)
At Imperial College Business School lectures 5 elective courses (founded the Private Equity Programme in 2007) covering Venture Capital, Growth Capital, LBO, HY, Mezzanine, Leverage Finance, Project & Infrastructure Finance, Distress & Debt Restructuring subjects, supervising 16 students in their thesis, each year. In 2009, 2010, 2011 and 2012, he was awarded with the "Principal's List for Outstanding Contribution to Teaching" at Imperial College Business School.
In 2008, he founded the ‘Connect Theory with Practice - www3.imperial.ac.uk / business-school / pevce’ annual PEVCE | Programme at Imperial College Business School developing and presenting real cases & market trends in various investment sectors, together, with more than 51 executives from the venture capital, private equity, investment banking and industry sector.
In 2008, Andreas as a founding member of Columbia University’s SEAS Advisory Committee supported the proposal for the development of a new Center and
Lecturer Profile
Professional experience
In the private equity area, Andreas has advised Bridgepoint Capital (€8 billion UK fund), TPG ($50 billion US fund), and Summit Partners (€11 billion USA fund) in their origination efforts having reviewed more than 130 companies in the services sector (education, healthcare, energy, environment, telecom & media, financial, outsourcing and business) and in retail, consumer goods, building materials in South East Europe.
In the entrepreneurship side, he has advised various CEOs (Cognita Schools, Humanitas Hospital Group, Metropolitan Hospital Group, Bioiatriki Diagnostics, Ionis Healthcare Services, Techint Engineering Group, Valtour Group, Vivodi Telecom, Korres Natural Cosmetics, etc) in their marketing & business development, new ventures & acquisitions strategy, operations, restructuring and capital raising.
He has reviewed specific M & A advisory opportunities in the sectors of healthcare, infrastructure and media in Europe with leading international banks like Rothschild and Commerzbank in London.
Between 2004 and 2008, Andreas worked in the area of private equity with Englefield Capital, investing in education, healthcare, alternative energy and environment, leading their origination activities in Italy, Greece & Cyprus, Balkans, and Turkey.
Between 2000 and 2004, he was a member of Dresdner Kleinwort Benson’s (the investment bank of Dresdner Bank, member of Allianz Group) Principal Finance Group in London, which commits the bank’s own risk capital (€1 billion balance sheet) in taking secured equity and debt positions (senior debt, mezzanine) in operating or financial assets as a ‘principal’. He reviewed and financed various transactions on span of healthcare, leisure, hospitality, satellites, cable, mezzanine loans, lease contracts and specialized industrials in West Europe. Representative transactions that he reviewed are: Le Meridien Hotel Group, Center Parcs, Travelodge, Priory Healthcare, Fraikin, DT Cable disposal, Eutelsat. He involved in the financing of Goldman Sachs Capital Partners, GSC and AIG – Mezz Vest Mezzanine Funds analyzing more than 21 companies in USA and Europe, which these funds have invested in. Originated the relationship with Anschutz Investments Group leading to the structuring of the €200 million Dresdner Anschutz Mezzanine (DAM) Fund for Germany.
Before that he worked in the venture capital division (€100million fund) of Dresdner Kleinwort Benson, based in London, covering TMT in USA, Europe and Israel investing in 13 companies. He invested and served at the Board of Directors of Inxight (USA) and Consul (Netherlands), as an observer.
In 1999, he started his career in the private equity working for Commercial Capital (€500 million fund), member of Gredit Agricole Group, investing in growth capital in small/medium enterprises (SMEs) in South & Eastern Europe. Between 1993 and 1999, he worked in the area of engineering (infrastructure and real
Lecturer Profile
Education
He holds an MBA from The University of Chicago Booth School of Business (sponsored by Dresdner Bank AG), a MSc from Columbia University School of Engineering in New York City (Gerondelis Scholar) and a graduate 5 year degree, Diploma in Civil Engineering (Structural Engineering), from the University of Patras School of Engineering, in Greece.
Andreas is speaking English, Italian, and Greek.
Lecturer Contact Details
Andreas T. Angelopoulos Adjunct Professor
Private Equity, Venture Capital & Entrepreneurship Finance Group
Imperial College Business School Imperial College London
Exhibition Road, South Kensington Campus London SW7 2AZ, United Kingdom
Connect Theory with Practice - www3.imperial.ac.uk/business-school/pevce
13 Andreas T. Angelopoulos
Executive Director Private Equity Institute University of Oxford Said Business School
Park End Street, Oxford OX1 1HP United Kingdom
Private Equity Institute (PEI) - http://www.sbs.oxford.edu/ideas-impact/privateequity
