312-251-1301 info@cfachicago.org

Event Detail

M&A Deal Structuring and Merger Modeling with Wall Street Training (Ended)

Date, Time, and Location:
Wednesday, June 06, 2012 (add this event to your Outlook Calendar)
9:00 am
The Standard Club, 320 S Plymouth Court, Chicago, IL  60604   (Driving Directions)

M&A Deal Structuring and Merger Modeling with Wall Street Training

This course focuses on the mergers and acquisitions process, the basics of deal structures, and covers the main tools and analyses that M&A investment bankers and acquirers utilize. Learn about common structural issues, crucial merger consequence analysis and structures and methodologies. Translate fundamentals into different modeling techniques, including the most basic and widely used back-of-the-envelope method, Accretion / Dilution, as well as a more robust combination analysis combining a Target and Acquiror's Income Statement. Learn how to sensitize basic deal structures and combination options.

Date, Time, and Location:
Wed., June 6, 2012
9:00 am - 5:00 pm
The Standard Club, 320 S Plymouth Court, Chicago

Program Description:

You will:

  • Build a fully functional accretion / dilution model that accounts for different transaction structures
  • Learn how to sensitize financial projections and the financial impact on a transaction
  • Common structural issues in a transaction (stock vs. asset, 338(h)(10) elections)
  • Merger consequence analysis including accretion / dilution and financial implications of a deal

Learning Goals:

M&A Deal Structuring:

  • Review of various deal considerations and deal structuring options (cash vs. stock)
  • Common structural issues in a transaction (stock vs. asset, 338(h)(10) elections)
  • Buyer and seller preferences for various deal structures and rationale
  • Tax implications of transactions based on deal structure and FASB 142 goodwill amortization
  • Merger consequence analysis including accretion / dilution and financial implications of a deal
  • Analysis of breakeven PE for both 100% stock and 100% cash considerations
  • Dive deep into merger accounting for your merger model including NOL treatment and FMV step-up

Accretion / Dilution Modeling:

  • Build dynamic merger consequence analysis (accretion / dilution) incorporating the following:
    • Synergies switch, cash vs. stock sensitivity
    • Amortization of goodwill switch (depending on purchase price allocation)
    • Common structural issues: Stock vs asset deals and 338 (h)(10) elections
    • Tax implications of transactions based on deal structure and FASB 142 goodwill amortization
    • Analysis of breakeven PE for both 100% stock and 100% cash considerations
    • Calculate pre-tax and after-tax synergies / cushion required to breakeven

Simple Merger Modeling:

  • Construct a merger model, simple combination of Income Statement for target and acquiror
    • Project simple stand-alone Income Statement for both target and acquiror
    • Analyze selected balance sheet figures and ratios and multiples
    • Estimate target valuation and deal structure
    • Calculate selected Pro Forma balance sheet items
    • Combine target and acquiror's Income Statement and estimated synergies
    • Calculate cash flow for debt repayments to estimate debt repayments and cash balances
    • Compute interest expense and interest income based on paydowns
    • Calculate accretion / dilution and credit ratios

Prerequisites:
To maximize the educational value of this program, we strongly recommend that you have a basic understanding of Excel and are familiar with its functions and features. Lack of basic Excel skills will impede your ability to effectively acquire and implement the techniques and shortcuts that are presented in this program.

Fee:
Members - $495
Non-Members - $595
Student-Members - $125 (Limited seats available)
(payable by cash, check or credit card - NO FUNCTION TICKETS)*

CFA Institute Qualified Activity: Eligible for 7 credit hours

Attire:
Business Casual

Menu:
Lunch will be provided.

For Reservations:
Register online below, or by phone: 312-251-1301

Agenda:
8:30 a.m.-9:00 a.m.: Registration
9:00 a.m.-5:00 p.m.: Seminar

Materials:
Bring your PC laptop with Microsoft Excel installed and a working USB port. (Macs with Office 2008 will not be as effective).
NOTE: Laptops will not be provided.

Hamilton Lin Hamilton Lin, CFA
President and Founder - Wall Street Training

About Instructor:
Hamilton Lin, CFA, President and Founder of Wall St. Training, has a broad background in investment banking and mergers and acquisitions. His responsibilities have included analyzing, structuring and negotiating mergers & acquisitions. Lin custom-builds and develops all of the financial and merger models that he uses which have become corporate and departmental standards. Lin has closed over two dozen transactions and has diverse industry experience ranging from oil & gas to insurance to asset management and related sectors.

About Wall St. Training:
Wall St. Training provides professional financial training solutions to Wall Street through hands-on classroom training and customized corporate training programs for financial analysis which take a hands-on, interactive, practical, non-theoretical approach. Wall Street Training's clients include Bank of America/Merrill Lynch, Credit Suisse, Citigroup, Deutsche Bank, Fidelity, GE, Goldman Sachs, JPMorgan, Morgan Stanley, TPG, and many others. For more information: www.wallst-training.com and www.wstselfstudy.com.

*Special Notes Regarding Fees:
Student rate only available to students approved as a Student-Member of CFA Chicago for 2011-2012. Credit card is required to guarantee ALL reservations. No day-of-event pre-registrations accepted (on-site only, if applicable and space available). There is a $5 surcharge for walk-ins. Visa, MasterCard, American Express, Discover and Diners Club are accepted. Cancellations accepted until 5:00pm, May 31.

A Passport Event This is a "Passport Program." Members of any local CFA society may attend at the CFA Chicago member rate. If you are only a member of CFA Institute, you do not qualify for the society member rate.

CFA Institute CE Qualified Activity
This program qualifies for credit under the guidelines for the CFA Institute Continuing Education Program. Please click here if you would like more information.

Content shared during CFA Society Chicago programs is not, and nothing in it should be construed as, an offer, invitation or recommendation of any specific financial services company or professional, or an offer, invitation or recommendation to sell, or a solicitation of an offer to buy, any securities in any jurisdiction. By registering for and attending this event, you acknowledge that any photographs that may be taken are the property of CFA Society Chicago and give your consent to their use in CFA Society Chicago's online and print business communications and marketing.