1. What is Investment Banking?
We present an overview of the investment banking industry, and describe the typical organisation structure of investment banks. Investment banking covers a wide range of activities, however this unit focuses on:
- Introduction
- What is investment banking
- Investment banking league tables
- Investment banking organisation structure
- Market trends
- Regulatory environment
- Review of valuation concepts
- Skills of the investment banker
2. Initial Public Offerings
In this topic we review the Initial Public Offering (“IPO”) process. The following topics are covered:
- Benefits of equity listing
- Characteristics of successful IPOs
- Alternative IPO structures
- Parties in IPO transactions
- Prospectus, disclosure requirements and listing rules
- IPO offer structures
3. Mergers & Acquisitions
This topic reviews the motivations for M&A transactions, and analyses the variety of structures used in M&A transactions. The impact of regulatory requirements is considered.
- Identify target, value target and assess synergies
- Assess pro-forma impacts of transaction
- Select preferred acquisition structure
- Assess regulatory and other process issues
- Due diligence
- Funding the acquisition
4. Secondary Equity Offerings
This topic reviews the wide range of mechanisms for an existing listed company to raise additional equity capital, known as a secondary offering (“SEO”). Topics covered include:
- Alternative mechanisms for undertaking SEOs
- Issue timetables
- Disclosure requirements
- Bookbuild case study
5. Divestment / Demergers
This topic reviews the process whereby companies sell or demerge a portion of their business portfolio. Topics covered include:
- Identifying and valuing the target business unit
- Assessing the pro-forma impact of divestment transaction
- Selecting the divestment process
- Assessing regulatory and other process issues
- Application of proceeds issues
6. Takeover Defences
This topic reviews the strategies available to companies who are actual, or potential, takeover targets. Topics covered include:
- Pro-active defence strategies and procedures
- Re-active defence strategies and procedures
- Directors’ duties and responsibilities
- Contents of target statements
7. Capital Management Transactions
This topic reviews the range of capital management transactions available to companies. Topics covered include:
- Motivations for capital management transactions
- Share buyback and return of capital transaction structures
- Demergers – a combined divestment and capital management transaction?
- Multiple listings
- Dual listed structures
8. Conclusion and Review
This topic concludes the course with a review of key skills needed to undertake investment banking transactions, examines how the investment banker can add value in a transaction, and considers the issues in preparing a pitch document. Topics covered include:
- Review of key investment banking skills
- How does the investment bank(er) add value?
- Preparing the pitch