Course description
Divestiture Analysis, Modeling and M&A Modeling Issues (1 day)
Divestiture Analysis & Modeling
This session covers the main divestiture and restructuring options available to a firm as a going concern. The motives and cons of each structure are explained and their balance sheet impact is analyzed in detail. Spreadsheet work and real cases are used throughout the session.
M&A Modeling Issues
This session addresses four key complexities in M&A models: Non-coterminous year ends, using a flexible deal date, currency translation and the creation of a non-controlling interest. In order to fully benefit from the session, delegates should have knowledge of the fundamentals of M&A accounting and familiarity with financial modeling.
Do you work at this organisation and want to update this page?
Is there out-of-date information about your organisation or courses published here? Fill out this form to get in touch with us.
Upcoming start dates
Suitability - Who should attend?
- New hires who have joined the firm late and missed the in-house program
- Individuals looking to fill a knowledge gap
- Experienced bankers looking to refresh their technical skills
- Teams employed in financial strategy roles from non-banking corporations
- Graduates preparing to interview for a role in the finance sector
- Students at business school and looking for a career in finance
Prerequisite
A solid understanding of the topics covered by our course Fully Integrated M&A Modeling is required.
Training Course Content
Divestiture Analysis & Modeling
Learning Outcomes
- Overview of divestiture and restructuring alternatives available to firms
- Divestiture (private sale and IPO)
- Spin off and split-up
- Split off
- Equity carve out
- Creating the balance sheet post deal
- Deconsolidation process
- Calculating the gain on disposal, including tax
- Tax basis vs. book basis of investment sold
- Dealing with non-controlling interests
- Adjusting the capital structure of the business to be divested/restructured
- Use of sale proceeds and scenario analysis
- Operating investments (capex or business acquisitions)
- Investments in financial assets
- Repayment of debt
- Repurchase of shares
- Special dividend
- EPS analysis, including using relative P/Es
M&A Modeling Issues
Learning Outcomes
- Building a M&A model: overview
- Non-coterminous years: calendarizing the financials of the target
- Dealing with calendarization issues (e.g. lack of underlying data)
- Building a flexible deal date in the M&A model
- Explanation of stub and roll forward periods in relation to flexible deal date
- Purchase accounting and the mechanics of full consolidation
- Modeling the completion balance sheet and consolidated financial statements post deal
- Dealing with different currencies
- Creating a non-controlling interest at acquisition date
Course delivery details
While this is a face to face training course, a blended learning approach is taken and delegates will be provided with access to AMT Online. Our study materials contain both the knowledge and practice materials required to assist with the learning process and help you in your job role. Course materials include:
- e-binder
- laminated summary sheets
- 24/7 access to DELTA online learning environment
- class recordings
- course notes
- quizzes
- electronic homework/study files
Reviews
Average rating 4.6
They were amazing instructors! Very knowledgeable, explained things easily, and their willingness to help out at any time was extremely nice. Really great instructors.
Great course and instructors overall. Material was explained in an understandable way and instructors were approachable for questions and really knew a lot about the various top...
The trainers explains each concept very clearly and very supportive when I have questions.