Introduction to the Course Advanced Corporate Finance September 14, 2017 Introduction to the Course Francesco Baldi

Introduction to the Course The teaching method applied in this course will be based upon four key principles: Intuition of the problem; Theory (e.g., theoretical background, formal model, theoretical issues involved); Practical implications and applications based on the real corporate finance world; Real-time, in-class implementation (if applicable) INTUITION THEORY CORPORATE FINANCE WORLD APPLICATIONS REAL-TIME, IN-CLASS IMPLEMENTATION

Introduction to the Course (cont. ed) All topics will be presented in this fashion so as to allow students to be exposed to both theoretical and practical issues and their interconnectedness. Following the above gradual steps would enable students to understand the theoretical background existing behind a specific corporate finance problem, appreciate the practical impact of such theoretical solution (as provided by academics and researchers) and be able to implement/replicate it in a real business setting The course will use a mixture of lectures, case studies and reading assignments (e.g., articles), supplemented with Excel-based applications (“tutorials”) to better understand the application of theoretical concepts and tools to various real‑world, financial situations “Tutorials” will be mainly integrated into lectures (or alternatively scheduled on different days, from time to time over the semester, with an advance notice to class) “Seminars” will be organized over the semester. Prominent speakers will be invited to talk to the class with the aim of providing a specific angle of the corporate finance profession Problem sets may be made available to the class for self-training purposes

Tutorials/Applications There will be several Excel-based tutorials/applications: Tutorial 1 – NPV: Project Analysis more to follow….

Course Material Upload Course material (lectures, tutorials, case studies, problem sets, additional readings) will be uploaded on the following website: http://docenti.luiss.it/corporate-finance-baldi/advanced-corporate-finance/ To access and download “protected” course material, use your LUISS account credentials and go to: Materiali didattici - Protetti Material upload will be made in a timely fashion. Lectures, tutorials and case studies will be only uploaded AFTER CLASS (NEVER IN ADVANCE!)

Course Material Upload (Current & Prior Years) Course material from previous years can be uploaded on the following website: http://docenti.luiss.it/corporate-finance-baldi/advanced-corporate-finance/ To access and download “protected” course material (also from previous years), the password is: baldifinance

Textbooks This book may be purchased at any bookshop or via Amazon The textbooks adopted for the course are the following: Copeland, Weston, Shastri. Financial Theory and Corporate Policy, 4th Edition, Pearson Addison Wesley Berk, DeMarzo. Corporate Finance, 2nd Edition, Global Edition, Pearson Francesco Baldi (edited by). The Economics of Leveraged Buyouts, Giappichelli, 2015 Francesco Baldi. Private Equity Targets. Strategies for Growth, Market Barriers and Policy Implications, Springer, 2013 This book may be purchased at any bookshop or via Amazon This book may be purchased on-line at http://link.springer.com/book/10.1007%2F978-88-470-2826-5

Grading A set of evaluation tools will be arranged to assign a final grade to students enrolled in the class The students’ performance in the course will be evaluated based on 1 written exam, 1 group project and 1 oral exam. Class participation (quality rather than quantity) is strongly recommended and expected. The relative weights of each of the above evaluation tools are: Written Exam: 50% Group Project: 30% Oral Exam: 20% Total: 100% COMPULSORY! COMPULSORY! COMPULSORY!

Group Projects The course will end with a GROUP PROJECT PRESENTATION Students enrolled in the class will be asked to create small groups to work together on a CORPORATE FINANCE PROJECT Each group will internally choose a leader who will be in charge of presenting the results of the work to the entire class and to the professor EACH GROUP will be assessed on the basis of the quality and accuracy of its deliverables. All students participating in the same group will earn the SAME PARTIAL GRADE (A, B, or C), which will be accounted for on an INDIVIDUAL BASIS (30% weight) Group presentations will be held at the end of the course (December 2017)

“Dream” Team The “Dream” Team of the Advanced Corporate Finance course is composed by: Prof. Francesco Baldi: email: fbaldi@luiss.it Office hours: Fridays 4:30pm-5:30pm Chair Collaborator: Dr. Andrea Sagone: email: asagone@hotmail.com Dr. Sagone will be in charge of tutoring student groups on assigned projects (special classes arranged during the semester)