Corporate and Financial Restructuring
Kevin Kaiser

Objective
Corporate and Financial Restructuring will give participants a perspective on the role of corporate and financial restructurings in a globalizing environment and the ability to identify the key impacts and sources of value creation.

Key benefits
By attending this program, you will gain:

  • Understanding of the global capital market as the driver of corporate restructuring activity
  • Appreciation for the importance of financing structure on company value as well as share price
  • Ability to identify and assess the sources of value creation in a restructuring event
  • Awareness of the primary hurdles to restructuring in distress and methods/techniques to address these hurdles

Who should attend?
Business professionals from companies or private equity firms involved in corporate restructurings, as well as advisors to such restructurings. While there will be a particular focus on the techniques used by Private Equity firms in managing their portfolio companies, these techniques should be equally relevant and interesting for those working in non-PE companies who are desiring to achieve higher levels of business performance through corporate and financial restructuring.

Participants will ideally already have some experience with restructurings as well as with valuation techniques used to assess the value impact of such events.

Accreditation
Amsterdam Institute of Finance is registered with CFA Institute as an Approved Provider of continuing education programs. This program is eligible for 18 CE credit hours as granted by CFA Institute. If you are a CFA Institute member, CE credit for your attendance at this event will be automatically recorded in your CE Diary.

Faculty
Kevin Kaiser is Affiliate Professor of Finance, and Director of the International Executive Program at INSEAD, France. He teaches extensively in the executive and MBA programs at INSEAD and has received the MBA award for Best Teacher for Electives seven times.

For information about admission, please see our Practical Information.

Program Content
Day 1
Overview of Corporate Financial Restructuring Techiques and Their Value Impact

Understanding Value Creation and the Role of Corporate and Financial Restructuring in Globalizing and Capital Markets-driven world

Restructuring the Business and Financing to Create Corporate Value

  • The principles sources of value creation from corporate financial restructuring: Investments, acquisitions, financing, payback and risk management
  • Managers’ vs shareholders’ vs lenders' interests: the  agency problem
Restructuring Alternatives – Asset (left-hand) side of the balance sheet and Liability (right-hand) side of the balance sheet

Adding Value through Business Portfolio Restructuring: Acquisitions and Divestitures

  • Mergers and acquisitions: when do they make sense?
  • Acquisition analysis: the sources of acquisition value creation

Case study

Day 2
Value Creation through Asset and Liability Restructurings - Focus on PE Techniques

Leveraged Buyouts: The PE Business Model

  • Basic Economics of PE firms
  • The LBO Market and investment performance
  • What makes a business suitable for a buyout
  • LBO entry, financial structure, refinancing and exit valuation

Group assignment: LBO cash flow and debt capacity analysis

Opportunity Cost of Capital, Leveraging and Deleveraging

  • Establishing required rates of return
  • Impact of leverage (or lack thereof) on the costs of debt and equity
  • Corporate taxation and other drivers of capital structure 

Case study

Day 3
Value Creation through Buybacks and Distressed Restructuring

Equity Buybacks and Debt Buybacks

  • Case Study

Financial Distress and Restructuring

Financial Distress caused by Economic distress

Leveraged Buyouts Gone Wrong: Restructuring the Pricing and Terms

  • Debt buybacks and the hurdles to distressed restructuring

Group exercise: Convertible preferred stock


Dates & Fees
September 27 - 29, 2010
€ 3,450
 
(AIF programs are not subject to VAT)