Thursday 14 September 2017
This seminar will give you a thorough grounding in all of the basic techniques that need to be comprehended when valuing a business.
The mechanics of discounted cash flow arithmetic will be covered including the structuring of a model and participants will also gain a grasp of the issues surrounding the choice of the discount rate.
The course will cover earnings based methods which are commonly used in valuing businesses in a variety of differing circumstances and will also address the alternative valuation techniques that may be deployed.
Please note: participants will be required to bring a laptop.
This practical one-day workshop has been designed to give you a thorough grounding in the principles of company valuation. The workshop is suitable for delegates from quoted companies, companies that are considering an acquisition, private companies considering flotation, and advisory firms.
Delegates are not required to have any prior knowledge of company valuation or acquisitions, but will need to be familiar with company financial statements. The programme is highly interactive and you will leave with practical usable models.
Who should attend?
This one day course has been designed to appeal to the following professionals:
- Company Secretarial Staff.
- Investor Relations professionals.
- Financial PR.
- Finance Directors/Managers.
- Lawyers and Accountants.
- Equity Sales.
- New joiners in the following functions: - Corporate Finance. - M&A Advisory. - Equity Analysis.
- Portfolio Managers.
- Financial Analysts.
Trainer: Andre Lanser
Andre is a consulting trainer as well as a corporate finance practitioner. He has delivered courses for banks around the world in the areas of Credit, Corporate Finance, Valuation and Financial Modelling.
Andre qualified as a Chartered Accountant, completing articles with PricewaterhouseCoopers. He started his career with a subsidiary of Commercial Union, involved in the steel manufacturing industry. His experience ranged from systems implementation, credit assessment of the highly risky construction industry customers, heading up the finance functions to successfully turning the business around and then selling the company through a trade sale. He later joined Commercial Union in the investment back-office function, reengineering the investment back office and later headed-up a team who implemented a new investment management system for both the back office and the front office.
His career then spanned over 15 years in the Venture Capital and Private Equity arena, where he has gained a vast amount of experience in the corporate analysis and valuation field.
He is a specialist in developing and training finance related courses, including corporate credit related topics, IFRS, credit analysis and cash flow analysis with a special focus on the banking sector, derivatives, financial reporting valuations, mergers and acquisitions and financial modelling courses. His training experience spans a period of more than 15 years.
What you will cover:
Business Accounting Model – Collecting the Correct Data
- Basic accounting model.
- Importance of cash flow in business performance.
- Ingredients of profit and loss account statement.
- Creative accounting problems.
- Review of the different perspectives of valuation.
Relative Valuation Techniques
- Using the dividend growth model approach.
- Variations on the growth model.
- Linking the dividend model with the price earnings (PER) ratio.
- Understanding the key drivers of PER – risk and growth assumptions.
- Relative sector peer’s and the implications for future value.
- Concept of EBIT and EBITDA multiples of enterprise value (EV).
- Cash flow multiples – EV / FCF, price / cash flow per share.
- Sales, asset and other multiples used for valuation.
- Understanding why different multiples are used for different valuations.
- Benefits and drawbacks of relative valuation techniques.
Discounted Cash flow Valuation
- Investment appraisal theory and principles of net present value.
- Forecasting the cash flow of the firm.
- Free cash flow (FCF) calculation.
- Free cash flow to the firm (FCFF) and free cash flow to equity (FCFE).
- Estimating the cost of capital to apply as a discount rate.
- Calculating the terminal value.
- Limitations of the model.
Places are limited on these courses so please book early to avoid disappointment.
The course fee is £300 per course (not including VAT) inclusive of lunch and refreshments. Discounts are available for returning delegates and multiple bookings.