Investment Banking - Valuation, Lbos, M&a, and Ipos, University Edition

Investment Banking
 
Praise for Investment Banking, UNIVERSITY EDITION
 
"This book will surely become an indispensable guide to the art of buyout and M&A valuation, for the experienced investment practitioner as well as for the non-professional seeking to learn the mysteries of valuation."
--David M. Rubenstein, Co-Founder and Co-Executive Chairman, The Carlyle Group Host, The David Rubenstein Show: Peer to Peer Conversations
 
"The two Joshes present corporate finance in a broad, yet detailed framework for understanding valuation, balance sheets, and business combinations. As such, their book is an essential resource for understanding complex businesses and capital structures whether you are on the buy-side or sell-side."
--Mitchell R. Julis, Co-Chairman and Co-CEO, Canyon Partners, LLC
 
"Investment Banking provides a highly practical and relevant guide to the valuation analysis at the core of investment banking, private equity, and corporate finance. Mastery of these essential skills is fundamental for any role in transaction-related finance. This book will become a fixture on every finance professional's bookshelf."
--Thomas H. Lee, President, Lee Equity Partners, LLC Founder, Thomas H. Lee Capital Management, LLC
 
"As a pioneer in public equities, Nasdaq is excited to be partnering with Rosenbaum and Pearl on Investment Banking as they break new ground on content related to IPOs, direct listings, and SPACs. We recommend the book for any shareholder and senior executive looking to take a company public, as well as their bankers and lawyers."
--Adena Friedman, President and CEO, Nasdaq
 
"Investment Banking requires a skill set that combines both art and science. While numerous textbooks provide students with the core principles of financial economics, the rich institutional considerations that are essential on Wall Street are not well documented. This book represents an important step in filling this gap."
--Josh Lerner, Jacob H. Schiff Professor of Investment Banking, Harvard Business School Co-author, Venture Capital and Private Equity: A Casebook
 
"Valuation is the key to any transaction. Investment Banking provides specific step-by-step valuation procedures for LBO and M&A transactions, with lots of diagrams and numerical examples."
--Roger G. Ibbotson, Professor in the Practice of Finance, Yale School of Management Chairman and CIO, Zebra Capital Management, LLC Founder, Ibbotson Associates
 
"Investment Banking provides fresh insight and perspective to valuation analysis, the basis for every great trade and winning deal on Wall Street. The book is written from the perspective of practitioners, setting it apart from other texts."
--Gregory Zuckerman, Special Writer, The Wall Street Journal Author, The Greatest Trade Ever, The Frackers, and The Man Who Solved the Market
 
Also available from the authors:
Investment Banking WORKBOOK
Investment Banking FOCUS NOTES
Investment Banking ONLINE COURSE
www.efficientlearning.com/investment-banking

Inhaltsverzeichnis

Instructor and Student Resources xv
 
About the Authors xix
 
About the Editors xxi
 
Foreword xxiii
 
Acknowledgments xxv
 
Disclaimer xxxiii
 
Introduction 1
 
Structure of the Book 3
 
Part One: Valuation (Chapters 1-3) 3
 
Part Two: Leveraged Buyouts (Chapters 4 & 5) 5
 
Part Three: Mergers & Acquisitions (Chapters 6 & 7) 6
 
Part Four: Initial Public Offerings (Chapters 8 & 9) 8
 
ValueCo Summary Financial Information 9
 
Part One Valuation 11
 
Chapter 1 Comparable Companies Analysis 13
 
Summary of Comparable Companies Analysis Steps 14
 
Step I. Select the Universe of Comparable Companies 17
 
Study the Target 17
 
Identify Key Characteristics of the Target for Comparison Purposes 18
 
Screen for Comparable Companies 22
 
Step II. Locate The Necessary Financial Information 23
 
SEC Filings: 10-K, 10-Q, 8-K, and Proxy Statement 24
 
Equity Research 25
 
Press Releases and News Runs 26
 
Financial Information Services 26
 
Summary of Financial Data Primary Sources 27
 
Step III. Spread Key Statistics, Ratios, and Trading Multiples 28
 
Calculation of Key Financial Statistics and Ratios 28
 
Supplemental Financial Concepts and Calculations 42
 
Calculation of Key Trading Multiples 47
 
Step IV. Benchmark the Comparable Companies 50
 
Benchmark the Financial Statistics and Ratios 50
 
Benchmark the Trading Multiples 50
 
Step V. Determine Valuation 51
 
Valuation Implied by EV/EBITDA 52
 
Valuation Implied by P/E 52
 
Key Pros and Cons 54
 
Illustrative Comparable Companies Analysis for ValueCo 55
 
Step I. Select the Universe of Comparable Companies 55
 
Step II. Locate the Necessary Financial Information 57
 
Step III. Spread Key Statistics, Ratios, and Trading Multiples 57
 
Step IV. Benchmark the Comparable Companies 69
 
Step V. Determine Valuation 74
 
Chapter 1 Questions 75
 
Chapter 2 Precedent Transactions Analysis 79
 
Summary of Precedent Transactions Analysis Steps 80
 
Step I. Select the Universe of Comparable Acquisitions 83
 
Screen for Comparable Acquisitions 83
 
Examine Other Considerations 84
 
Step II. Locate the Necessary Deal-Related and Financial Information 86
 
Public Targets 86
 
Private Targets 89
 
Summary of Primary SEC Filings in M&A Transactions 90
 
Step III. Spread Key Statistics, Ratios, and Transaction Multiples 92
 
Calculation of Key Financial Statistics and Ratios 92
 
Calculation of Key Transaction Multiples 98
 
Step IV. Benchmark the Comparable Acquisitions 102
 
Step V. Determine Valuation 102
 
Key Pros and Cons 103
 
Illustrative Precedent Transaction Analysis for ValueCo 104
 
Step I. Select the Universe of Comparable Acquisitions 104
 
Step II. Locate the Necessary Deal-Related and Financial Information 105
 
Step III. Spread Key Statistics, Ratios, and Transaction Multiples 107
 
Step IV. Benchmark the Comparable Acquisitions 115
 
Step V. Determine Valuation 117
 
Chapter 2 Questions 118
 
Chapter 3 Discounted Cash Flow Analysis 123
 
Summary of Discounted Cash Flow Analysis Steps 124
 
Step I. Study the Target and Determine Key Performance Drivers 128
 
Study the Target 128
 
Determine Key Performance Drivers 128
 
Step II. Project Free Cash Flow 129
 
Considerations for Projecting Free Cash Flow 1

Über den Autor / die Autorin

JOSHUA ROSENBAUM is a Managing Director and Head of the Industrials & Diversified Services Group at RBC Capital Markets. He originates, structures, and advises on M&A, corporate finance, and capital markets transactions. Previously, he worked at UBS Investment Bank and the International Finance Corporation, the direct investment division of the World Bank. He received his AB from Harvard and his MBA with Baker Scholar honors from Harvard Business School.
JOSHUA PEARL has served as a Managing Director at Brahman Capital, a long/short equity asset manager. He focuses on public equity investments and special situations utilizing a fundamentals-based approach. Previously, he structured high yield financings, leveraged buyouts, and restructurings as a Director at UBS Investment Bank. Prior to UBS, he worked at Moelis & Company and Deutsche Bank. He received his BS in Business from Indiana University's Kelley School of Business.

Zusammenfassung

Investment Banking

Praise for Investment Banking, UNIVERSITY EDITION

"This book will surely become an indispensable guide to the art of buyout and M&A valuation, for the experienced investment practitioner as well as for the non-professional seeking to learn the mysteries of valuation."
--David M. Rubenstein, Co-Founder and Co-Executive Chairman, The Carlyle Group Host, The David Rubenstein Show: Peer to Peer Conversations

"The two Joshes present corporate finance in a broad, yet detailed framework for understanding valuation, balance sheets, and business combinations. As such, their book is an essential resource for understanding complex businesses and capital structures whether you are on the buy-side or sell-side."
--Mitchell R. Julis, Co-Chairman and Co-CEO, Canyon Partners, LLC

"Investment Banking provides a highly practical and relevant guide to the valuation analysis at the core of investment banking, private equity, and corporate finance. Mastery of these essential skills is fundamental for any role in transaction-related finance. This book will become a fixture on every finance professional's bookshelf."
--Thomas H. Lee, President, Lee Equity Partners, LLC Founder, Thomas H. Lee Capital Management, LLC

"As a pioneer in public equities, Nasdaq is excited to be partnering with Rosenbaum and Pearl on Investment Banking as they break new ground on content related to IPOs, direct listings, and SPACs. We recommend the book for any shareholder and senior executive looking to take a company public, as well as their bankers and lawyers."
--Adena Friedman, President and CEO, Nasdaq

"Investment Banking requires a skill set that combines both art and science. While numerous textbooks provide students with the core principles of financial economics, the rich institutional considerations that are essential on Wall Street are not well documented. This book represents an important step in filling this gap."
--Josh Lerner, Jacob H. Schiff Professor of Investment Banking, Harvard Business School Co-author, Venture Capital and Private Equity: A Casebook

"Valuation is the key to any transaction. Investment Banking provides specific step-by-step valuation procedures for LBO and M&A transactions, with lots of diagrams and numerical examples."
--Roger G. Ibbotson, Professor in the Practice of Finance, Yale School of Management Chairman and CIO, Zebra Capital Management, LLC Founder, Ibbotson Associates

"Investment Banking provides fresh insight and perspective to valuation analysis, the basis for every great trade and winning deal on Wall Street. The book is written from the perspective of practitioners, setting it apart from other texts."
--Gregory Zuckerman, Special Writer, The Wall Street Journal Author, The Greatest Trade Ever, The Frackers, and The Man Who Solved the Market

Also available from the authors:
Investment Banking WORKBOOK
Investment Banking FOCUS NOTES
Investment Banking ONLINE COURSE
www.efficientlearning.com/investment-banking

Produktdetails

• Autoren: Joshua Pearl, Joshua Rosenbaum Pearl, Pearl Joshua, j Rosenbaum, Joshu Rosenbaum, Joshua Rosenbaum, Joshua Pearl Rosenbaum, Rosenbaum Joshua
• Verlag: Wiley, John and Sons Ltd
• Sprache: Englisch
• Produktform: Taschenbuch
• Erschienen: 31.07.2021
• EAN: 9781119823377
• ISBN: 978-1-119-82337-7
• Seiten: 576
• Serien: Wiley Finance; Wiley Finance Editions
• Themen: Sozialwissenschaften, Recht,Wirtschaft > Wirtschaft > Betriebswirtschaft; Investment Banking, Finance & Investments, Finanz- u. Anlagewesen, Institutionelle Finanzplanung, Institutional & Corporate Finance