Develop and apply a valuation model to maximize the economic benefit of a transaction
Properly identify the risks associated with valuation models and other deal forecasts
Reduce the amount of time absorbed by the valuation modeling process
Building a valuation model for M&A
- Understanding and comparing various valuation methodologies
- Understanding a discounted cash flow model
- Understanding valuation multiples
- Understanding the LBO valuation model used by PE firms
- Estimating growth rates and terminal value
- Methods for determining the discount rate
- Methods for selecting multiples
Governance of the valuation process
- Understanding risk premiums
- Stress-testing valuation models / identifying bias
- Applying appropriate valuations discounts
- Testing assumptions in diligence
- Understanding valuation ratios and drivers
- Using outside advisors such as quality-of-earnings and fairness opinions
- Validating and stress testing the valuation
Applying the valuation model
- Linking valuation modeling and bids/LOIs
- Differences applying valuation principles to public companies versus private companies
- Adapting valuation for venture-backed and high growth companies, distressed companies, and minority interests
- Using valuation sensitivity analysis to maintain pricing discipline
- Linking valuation to deal structure
- Knowledge capture / process refinement
- Avoiding common mistakes and pitfalls
"The M&A Valuation class was terrific. The exchanges with the professor and participants was invaluable. The course material was very informative and I'll use in the future."
SVP - General Counsel, Graybar Electric Company
"Donna is a great instructor and is engaging. I learned a few things today and it was good to interact with peers in breakout rooms."
VP - Corporate Development, Sony
"I found the content and Donna exceptional... I would definitely take another class."
SVP - Global Commercial Operations, Quidel
"The course was interesting and relevant, supported by great discussions and an awesome instructor."
Senior Manager - Business Development, Pratt & Whitney
"This was a great and lively class. I learned a lot and was glad to have been able to participate."
Director of Transaction Liability Claims, Lockton Companies
Professor Donna Hitscherich is a senior lecturer of Finance, director of the Private Equity Program, and a Bernstein Faculty Leader at the Sanford C. Bernstein & Co. Center for Leadership and Ethics at Columbia Business School.
Prior to her position at Columbia, Professor Hitscherich had a career in investment banking, holding positions at CS First Boston, J.P. Morgan & Co. Inc., and Banc of America Securities. At J.P. Morgan, she helped found the takeover defense team and served as a senior member of the advisory review committee, which was responsible for all of the M&A fairness opinions issued by the company. As a managing director in the mergers and acquisitions group of Banc of America Securities, she was secretary of the firm’s fairness-opinion review committee and a major contributor to the firm’s training programs for managing directors and associates.
Prior to her investment banking career, Professor Hitscherich was a corporate lawyer at Skadden, Arps, Slate, Meagher & Flom.
In this snippet, Professor Hitscherich explains that there is no right answer for determining which discount rate to apply to your valuation. But the are wrong ones!
AWARDED UPON COMPLETION
You will receive:
- A tombstone for your desk
- CLE and CPE credit
- Course certification for LinkedIn
This M&A Master Class will run live online on
Friday February 25, 2022 from 10:00 am - 4:30pm (CST)