STRATEGIC FINANCE

The course deals with the value creation strategies and analyse the different levers available to the firms with a special focus on listed companies.
In more detail, the course deals with:
- the most common firm valuation models;
- the internal levers for value creations (working capital management and capital budgeting decisions);
- M&As and their impact on value creation;
- the Private Equity market.

After the course, the students should be able to:
- understand the value drivers of a firm throughout the financial reporting (financial statements, analysts presentation, business plans);
- value a firm with excel applications, using the most common valuations models (DCF and multiples);
- detect the areas for increasing value inside the firm;
- understand the main features of M&A's, the growth opportunities they can provide and the consequent risks;
- be aware of the logics and metrics in the Private Equity market.

Student must:
- be able to understand the financial statement of a company;
- know the main corporate finance models concerning both investments valuation and financial decisions;
- be able to estimate the cost of capital of a firm using the most common approaches.

The syllabus of the course includes:
- McKinsey "pentagon" value creation model;
- financial reporting analysis for listed companies;
- discounted flows valuation models (DCF);
- comparative valuation models (equity and transactions multiples);
- value creation strategies through internal decisions: the key aspects in working capital management (receivable/payable and inventories) and capital budgeting decisions in critical situations;
- fiscal, legal and financial aspects of M&As;
- synergies and their exploitation in M&As valuation and post-merger integration;
- the structured finance deals (LBOs, reverse mergers, SPAC).

M.Buongiorno, La valutazione delle aziende dopo l'introduzione dei PIV, Gruppo Euroconference, 2016
Slides, selected papers and other works.

Written exam made of 5 open questions and one exercise to solve about the valuation models dealt with during the course

The lessons deal with both theorical and practical items. Analysis, cases and simulations will be largely used.

Italian

written