Module – 1
Importance of Cash Flows Statement – Heart of any business
- How to analyze Cash Flow Statement
- Difference between Accounting profit and Cash profit
- Forecasting cash flows
Module – 2
Approach to Company analysis
- Different methods used for company analysis
- Competitive positioning and industry mapping
- Evaluating promoters and management team
- Analysis of financial statement analysis
Module – 3
Advanced Financial statement analysis
- Derivation of advance ratios – EV, P/BV, EBIDTAR/DEBT, Cash multiple, Project IRR, Equity IRR, Debt IRR
- Validity of ratio analysis in projections, decision making, valuations, etc
- Capital budgeting techniques – Payback, Discounted Payback, NPV, IRR, Modified IRR, Profitability Index
- Assessment of risk and profitability
Module – 4
Fund Raising – Various sources and preparation
- How to assess capital requirements for a company
- Various fundraising options
- Direct equity – private market, public market, listed and unlisted market
- Equity-linked debt – mezzanine funding, convertible securities, etc
- Debt funding – bridge funding, subordinated debts, securitization, and structured finance
- How to prepare a company for fundraising
- Managing key performance indicators
- Critical terms for various funding sources
Module – 5
Valuation – Company Valuation
- Introduction to Business Valuation Various types of valuation methods and their applicability for different industries and companies
- Approach to Asset Value vs. Equity Value
- Intrinsic valuation, Book Value, and other methods
- DCF: various concepts and applicability
- Understanding of PV, FCFF, FCFE, UFCF, LFCF, Terminal Value
- Key pitfalls
Module – 6
Valuation – Relative and Multiples based method
- Process of valuation based on comparative multiples – Compilation, adjustments, and rationalization
- How to calculate and apply fundamental multiples for valuation – Price Earning multiple, Price to Book multiple, Enterprise Value to EBITDA, EV/FCF, FCF/BV, EV/EBITDA, EV/Capex, EV/Subscriber, EV/EBITDAR, EV/Capacity, etc
- How to choose comparable companies and past transaction
- Key issues and pitfalls
- Critical adjustments in the compilation and analyzing precedent transactions
- Application of control or leadership premium, synergies, cash flows, illiquidity, and minority discounts, etc
Module – 7
Valuation of Bonds
- Bonds basics
- Factors affecting Bond prices
- Pricing of Bonds
- Interrelationships with other Macro Economic Variables
Module – 8
Strategic transactions for an organization Global Partnerships, Merger & Acquisition (M&A) and Leveraged buyouts (LBO)
- How to analyze a company for Strategic Partnership, M&A or LBO
- Strategic decision-making process – valuation and issues
- Keys focus areas
- How to manage the post-acquisition process
Module – 9
Due Diligence for Capital Raising/Buyouts/Sale of business
- How to prepare a company for due diligence
- Creating a due diligence plan
- Balancing the role of internal and external service providers
- How to resolve post due diligence observations
Module – 10
Building adjustments in financial models to make them ready for analysis
- Focus on flexibility and integrity of financial models
- Some key sheets which can be added
- Additional analysis – sensitivity, scenario, variance, etc
- Another funding requirements, dilution, returns, etc
- Importance of growth and its impact on financial analysis
- Some quick calculations in excel formulas and other tools
Module – 11
How to Raise Project Finance
- Suitability of Project finance and its sources
- Keys things analyzed by banks
- Key terms and obligations
