The main goal of this class is to teach students the functioning of the private equity industry to allow them to be "jump start ready" to enter a fund. A general knowledge (no deep expertise) of corporate finance and investment banking is advised.
Class 1: Overview of the private capital industry
This first class gives an overview of the whole private capital industry from private equity (VC, LBO, growth equity, distressed), private debt, real estate, infrastructure and natural resources.
Class 2: Venture capital term sheet
This class presents the main aspects of a VC term sheet during a startup funding round with important concepts such as pre money/post money, preferred shares, participating/non participating liquidation preference, vesting and antidilution clause.
Class 3: Leverage Buyout valuation and structuring
This class presents the advanced method to structure a LBO from the financing side, the business plan forecasting, the exit and the deep links between all those aspects
Class 4: Management Package
This class presents the structuring of a management package with a focus on "sweet equity", stock option like instruments, quasi equity. the important point is how the package distributes the value created during the LBO in various scenarii
Class 5: Value creation
This class presents in details the various way to create value in a LBo with a focus on operational value creation (sales growth, margin improvement, capex rationalization, working capital optimization), strategic value creation (new product, geographic expansion, build up) and financial value creation (financial engineering through leverage)
Class 6: Daily life of a fund
This last class presents the daily life of a fund with an introduction to the fundraising process, the fund management and LP relationship management, the target selection process and the portfolio management".