Private Equity
Code
2236
Credits
3,5
Teacher in charge
Paulo José Jubilado Soares Pinho
Teaching language
English
Objectives
This course is devoted to private equity companies, their investments and transactions. We approach this topic from the general partners perspective, covering the topics associated with the organisation and strategy of private equity partnerships, the setting‐up of the firm, fund‐raising and the life cycle of private equity funds, leveraged buyouts and buy‐ins, development capital, specialised private equity funds and the exit from private equity investments.
The course will have a strong practical emphasis being extensively based on case‐studies and on a simulation of a (real) buyout transaction.
Prerequisites
Subject matter
Bibliography
Teaching method
Private equity is a fairly practical and applied subject. Most of the required theoretical foundations have been covered in Corporate Finance. Thus, given the applied characteristics of the subject, extensive use of case‐studies is employed to discuss the practical issues faced by private equity practitioners. Additionally a buyout simulation is used to provide students with more hindsight on the practical problems involved in valuing, due diligencing and structuring of a leveraged buyout transaction.
Evaluation method
-Group (4 people per team) solution of two case‐studies: 25%
-Participation on the Finance Simulation: Blackstone / Celanese, Harvard (3712‐HTM‐ENG) 10%
-Students will be graded according to their individual financial performance at the simulation
-Final Exam: 40%
-Minimum required exam grade: 9.5 (/20)
-Class participation: 25%
Class participation refers to actual oral participation in case‐study discussions; students who remain silent throughout the course should expect a zero grade in this item.