Corporate valuation (2018/2019)

Course code
4S003195
Name of lecturer
Lorenzo Faccincani
Number of ECTS credits allocated
6
Academic sector
SECS-P/09 - CORPORATE FINANCE
Language of instruction
Italian
Period
primo semestre lauree magistrali dal Oct 1, 2018 al Dec 21, 2018.

Lesson timetable

Go to lesson schedule

Learning outcomes

Discuss the concepts of economic and financial equilibriums of the company.
Studying causes and solutions of the firm crisis.
Deepening criteria and methods of company evaluation, applicable in the various operations of extraordinary management affecting the company and the groups.
Explain the criteria for estimating the value of industrial property rights.
The focus of the course, which has a theoretical but well-anchored approach to operations, is therefore based on assessments and estimates, for which the contribution of corporate finance is essential.

Syllabus

Introduction to the evaluation of firms and business units.
The determination of the intrinsic value:
- adjusted net asset methods;
- income methods;
- the methods that make explicit the creation of value;
- financial methods;
- relative valuation.
From intrinsic value to investment value: the value of control and the synergies.
The evaluation of an equity investment.
The financing forms alternative to the bank credit:
- Private equity and Venture capital;
- Private debt;
- Individual Saving Accounts (“Piani Individuali di Risparmio” - PIR).
Extraordinary financial operations: Merger & Acquisition (M&A), leveraged buyout, spin-off, equity carve-out and split off.
The firm crisis: causes and judicial and extrajudicial solutions.
The specificities in the evaluation of a firm in crisis.
The tools that aim at encouraging the generational transition of a firm.

Teaching will be developed through lectures aimed at facilitating the understanding and interpretation of theoretical concepts.

Reference material

• G.Forestieri, Corporate e Investment Banking, Egea, Milan, 2018, limited to chapters from 5 to 10

Students must also prepare the material reported in the elearning page of the course.

Reference books
Author Title Publisher Year ISBN Note
Giancarlo Forestieri Corporate & Investment Banking Egea 2018 9788823822573

Assessment methods and criteria

The exam is written. It consists in 3 questions (open theoretical questions and exercises to be solved by providing a commentary to the obtained results), structured in order to ascertain the student’s ability to critically analyze the topics covered by the program. The duration of the test is equal to two hours.
On the e-learning platform all exam topics will be made available immediately after the appeals have been held.
Finally, the examination procedures are identical for Students attending and not attending.