PTMBA2023 Private Equity

This is an introductory course to the world of private equity. Over a full course students will go through both the mechanics, and intellectual leanings, of the world of private equity. No strong technical background is required, and the core MBA curriculum would be enough for students to navigate through this class. Perhaps half the class covers the technical aspects of PE (constructing an LBO model (3 sessions), case-studies that involve mergers that are strong on financial statements, while the rest of the class is not technical but examines various situations and trade-offs).

This course covers the main concepts, techniques, instruments and institutions involved in the private equity investment. The course also looks at a very large set of deals to gain familiarity with the private equity investment model and the opportunities set. Several themes are discussed: the structure of the private equity market, valuation, financing, deal processing, and harvesting. It also covers the structure and strategy of the private equity firm.

Basic Readings:International Private Equity (by Eli Talmor and Florin Vasvari), published in 2011 by John Wiley & Sons.Barbarians at the Gate (by Bryan Burrough and John Helyar), published in 2010 by Arrow.

Working knowledge of financial accounting, knowledge of discounted cash flow valuation, knowledge of corporate finance.

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