Course ObjectiveAfter successfully completing this course students:
- Will know and understand the main theories and models of Corporate
Valuation, will be aware of the different assumptions underlying
valuation models and will be able to apply these models to different
types of firms (Academic and Research Skills).
- Will be able to perform a number of complete valuations and will be
able to evaluate and justify each choice made during the valuation
process (Academic and Research Skills).
- Will know how to perform valuations based on a real life business
cases and report the results in an informative and professional manner
(Professional / Social Skills).
- Will understand how environmental and social issues can affect the
valuation of a firm and vice-versa (Broadening Your Horizon).
- Will know how to work in a group effectively under strict deadlines
and be aware of how biases can impact the valuation of a firm
Course ContentThe course kicks off with a discussion of value drivers and Financial
Statement Analysis. A valuation starts with a thorough understanding of
the business strategy and an analysis of the financial figures.
Quickly thereafter the hard core of Corporate Valuation will be
outlined: CF valuation techniques (theory and practice) and pricing
models for equity investments and debt investments. We follow closely
the methodology as outlined by McKinsey, regarded by professionals as
the standard practice.
Corporate valuation depends very much on the perception of investors in
financial markets. Therefore attention will be paid to the perspective
of banks as loan providers, investment banks as dealers, equity analysts
and private equity funds. These topics will be the basis of two guest
After this overview, specialized topics will be addressed: corporate
valuation of start-ups, valuation of
corporate social responsibility and finally we will discuss the
valuation of companies such as Facebook and Instagram.
Corporate Valuation topics will be applied in three business cases
provided by the coordinator and one case provided by a guest lecturer.
Teaching MethodsLectures (2 times 2 hours per week) and tutorials (1 time 2 hours
Method of AssessmentWritten exam (70%) and four case assignments (30%).
Entry RequirementsAdvanced Corporate Financial Management 4.1
Literature- Reading material provided on Canvas.
- Harvard business case course pack (this will be made available for
purchase at the beginning of the course).
- Valuation, McKinsey (6th edition). (The 5th edition of this book can
also be found as an e-book, but the students will be responsible to
match the content between the two editions and no rights can be derived
from using the older version of the book).
|Language of Tuition||English|
|Faculty||School of Business and Economics|
|Course Coordinator||dr. M. Millone MSc|
dr. M. Millone MSc
You need to register for this course yourself
Last-minute registration is available for this course.
|Teaching Methods||Lecture, Study Group|
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