Master degree in Law. This course is part of the Advanced Master Law and Finance.
This course is dedicated to corporate finance. Corporate finance is most commonly used in merger & acquisition process. Hence, this course will start to explain the actors and their roles in these process, their inter-relation to each other and the background for the requirements for valuations. Thereafter the course will provide lawyers with a basic understanding of the theoretical foundations of valuation fundamentals and methodologies, against the backdrop of mergers, take-overs and public to private transactions. In addition, time will be spent on understanding the dynamics of valuations in relation to the role of uncertainty and risk and corporate governance. Apart from the financial aspects, we will also focus on the broad legal context of these processes, with a particular focus on fairness opinions. Concrete cases will be presented throughout the course to learn how to apply this knowledge in practice. Upon completion of the course, students should be able to comprehend the aspects of valuations and will gain an understanding of the context in which valuations are being used.
Course learning objectives
This course aims to offer students a broad introduction to the themes of corporate finance and to increase their understanding of financial markets and valuation methodologies. After completing the course:
Students are able to explain the drivers of M&A decisions and are able to identify the various actors involved.
Students are able to identify the relevant legal and governance aspects involved with M&A and valuations and are able to include the relevant legal clauses in legal documentation.
Students are able to analyze a business plan.
Students are able to describe the various valuation methods available, such as DCF and capital markets pricing mechanisms.
Students are able to calculate/understand free cash flows and cost of capital calculations.
Students are able to answer concrete case questions and present answers.
Mode of instruction
Number of (2 hour) lectures: 10
Names of lecturers: Wouter H.L. Han
Required preparation by students: reading of prescribed materials
Written assignment: take home exam 30%
Written assignment: take home exam 40%
Group assignment: discussion and presentation 30%
The written take home assignments will consist of practical and numerical questions requiring the student to respond to a concrete case covering topics discussed in the course. The take home assignments will be made available to students via Brightspace.
The group assignment will consist of a group discussion and presentation covering financial valuation topics. The group exercise will require the student to respond to a concrete case covering all topics discussed during the 5-week course.
Further information about the assignments will be communicated to students through Brightspace closer to the exam date.
Course reader and additional literature is distributed through Brightspace.
Obligatory course materials:
Mergers, Acquisitions, and Other Restructuring Activities
Authors: Donald DePamphilis
Hardcover ISBN: 9780128013908
eBook ISBN: 9780128024539
Imprint: Academic Press
Published Date: 11th September 2015
Mr. Wouter H.L. Han
Ms. Orsolya Kalsbeek-Bagdi
Email address: firstname.lastname@example.org
Disclaimer: This course has been updated to the best of our knowledge at the current time of publishing. Due to the Covid-19 pandemic and the fluctuating changes in lock down regulations all information contained within this course description are subject to change up to 1 September 2021.
Due to the uncertainty of the Covid-19 virus after 1 September 2021, changes to the course description can only be made in the event of strict necessity and only in the circumstances where the interests of the students are not impinged. Should there be a need for any change during the duration of the course, this will be informed to all students on a timely basis and will not be to the prejudice of students. Modifications after 1 September 2021 may only be done with the approval and consent of the Faculty Board.