Overview
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In this Specialization, you’ll learn how finance teams and deal professionals measure value creation, value businesses, and design M&A deals that hold up under real assumptions. You’ll begin with core corporate finance: using financial statements to build ratios, assess financial health, forecast cash flows, and manage short- and long-term liquidity. You’ll then apply valuation and investment decision tools—including discount rates, risk and uncertainty, and performance evaluation—so you can judge whether a project or acquisition creates shareholder value.
Next, you’ll move into the finance of mergers and acquisitions, focusing on how to value and price deals and choose the financing mix. You’ll examine how leverage changes the cost of capital and can affect stock price, and how transactions shift a company’s capital structure. You’ll also work with major deal types, including strategic M&A, private equity leveraged buyouts (LBOs), and restructuring transactions such as spinoffs and asset transfers, using a consistent set of valuation and decision frameworks.
By the end of this Specialization, you will be able to:
Build ratio-based assessments and cash flow forecasts to evaluate value creation and liquidity needs Estimate discount rates, incorporate risk, and compute NPV to evaluate deals for acquirers and targets Value synergies and translate assumptions into pricing and financing decisions for different deal structures
Syllabus
- Course 1: Corporate Finance I: Measuring and Promoting Value Creation
- Course 2: Finance of Mergers and Acquisitions: Designing an M&A Deal
- Course 3: Finance of Mergers and Acquisitions: Valuation and Pricing
Courses
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In this course you will learn how to use key finance principles to understand and measure business success and to identify and promote true value creation. You will learn how to use accounting information to form key financial ratios to measure a company’s financial health and to manage a company's short-term and long-term liquidity needs. You will also learn how to use valuation techniques to make sound business investment and acquisition decisions. Finally, you will learn how to incorporate risk and uncertainty into investment decisions and how to evaluate the performance of existing investments. Upon successful completion of this course you will be able to: • Understand how companies make investment decisions that create value for shareholders • Use accounting statements to measure the financial health of a company • Forecast and manage a company’s short- and long-term liquidity needs • Measure the contribution of a new project or acquisition to shareholder value • Incorporate risk into investment decisions using the appropriate discount rates • Evaluate the performance of a company or divisions of a company This course was previously entitled Financial Evaluation and Strategy: Corporate Finance. The course received an average rating of 4.7 out of 5 based on 177 reviews over the period of September 2015 through August 2016. A detailed breakdown of ratings and reviews received for the prior version of the course, which is identical in content to the current course, is provided in the course orientation page. This course is part of the iMBA offered by the University of Illinois, a flexible, fully-accredited online MBA at an incredibly competitive price. For more information, please see the Resource page in this course and onlinemba.illinois.edu.
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This course teaches how to value and price M&A deals and to choose the optimal financing mix for an M&A deal. The course focuses on all the major types of M&A deals including strategic M&A, private equity leveraged buyouts (LBOs), and restructuring deals such as spinoffs and asset transfers.
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This course focuses on the theory and practice of mergers and acquisitions (M&A), with a focus on the Finance. The Finance of M&A uses tools from different areas of Finance to help managers and investment bankers design successful M&A deals. In particular, we will learn to value and price M&A deals and how to choose the optimal financing mix for an M&A deal. The course focuses on all the major types of M&A deals including strategic M&A, private equity leveraged buyouts (LBOs), and restructuring deals such spinoffs and asset transfers. The course will benefit any student who desires to increase their ability to understand and execute M&A deals, including (but not limited to), entrepreneurs, consultants, bankers, investors, analysts, corporate managers, marketers, strategists, and deal-makers of all types. The course will also deepen students’ understanding of financial modeling and capital structure, both in theory and practice.
Taught by
Heitor Almeida and Stefan Zeume