Equity Capital Markets (Ecm) Masters Program

Equity capital markets| IPO| Venture Capital| Process of IPO| Registration| Issue| IPO Model| PE Multiple Methods

What you'll learn

Initial Public Offer

Venture Capital

Advantages of IPO and Disadvantage of IPO

Process of IPO, Registration, Issue, IPO Model, PE Multiple

Requirements

Basic Finance

Description

“Equity Capital Markets or (ECM)”, are the words which will make you think of initial public offerings (IPOs) and companies raising billions of dollars in huge stock-market debuts. But there’s a lot more to the group than breaking records and making headlines in the process. Like other capital markets teams at banks, ECM groups can be described as a cross between investment banking and sales & trading. If you’re in this group, you’ll spend most of your time advising companies that want to raise equity capital. “Raising equity capital” means that the company sells a percentage of ownership in itself in exchange for cash – as opposed to raising debt, where the company maintains its ownership but must pay interest on the funds it raises. Whenever reputed corporations require a sizeable amount of equity infusion to achieve a higher rate of growth, they turn mostly to:Financial institutions like investment banks including well-known entities like Goldman Sachs, Morgan Stanley and CitiGroup.Equity Capital Markets or ECMs which cover a far greater area than stock markets and are perhaps the most reliable platforms for IPOs.An IPO or Initial Public Offer is a privately-owned company’s first sale of shares to the public at large, transforming it into a publicly-owned organization and offering a launchpad of liquidity which may be used for debt repayments, Mergers & Acquisitions and removing working capital (WC) bottlenecks. It is perhaps the single-most-important moment for any private company as its IPO performance can leave a deep impression on its future. Equity capital markets (ECM) provides primary equity products including IPOs, follow-on offerings, rights issues, block trades, accelerated bookbuildings and equity-linked products. Deutsche Bank is the only firm to have bookrun the five largest IPOs ever: Alibaba, General Motors, Agricultural Bank of China, Industrial and Commercial Bank of China and AIA Group.The equity capital market is a subset of the broader capital market, where financial institutions and companies interact to trade financial instruments and raise capital for companies. Equity capital markets are riskier than debt markets and, thus, also provide potentially higher returns.Instruments Traded in the Equity Capital MarketThe following instruments are traded on the equity capital market:Common sharesPreferred sharesPrivate equityAmerican depository receipts (ADR)Global depository receipts (GDRs)FuturesOptionsSwaps

Overview

Section 1: Introduction

Lecture 1 Introduction to Equity Capital Markets

Lecture 2 More on Equity Capital Markets

Lecture 3 Initial Public Offer

Section 2: Venture Capital

Lecture 4 Agenda of Financing New Ideas

Lecture 5 Venture Capital Funds

Section 3: Advantages of IPO and Disadvantage of IPO

Lecture 6 Understanding IPO Capital

Lecture 7 Advantages of IPO

Lecture 8 Disadvantages of IPO in Public Level

Section 4: Process of IPO

Lecture 9 The IPO Process

Lecture 10 Book Building Process

Lecture 11 How Book Building Process Works

Lecture 12 How Lead Underwriter Works

Section 5: Registration

Lecture 13 Understanding Registration

Lecture 14 Concept of Marketing

Lecture 15 Offer Pricing

Lecture 16 Planning an IPO

Lecture 17 More On Pricing

Lecture 18 IPO Underpriced

Lecture 19 After Marketing

Lecture 20 Other Divestiture Methods

Lecture 21 Methods of Going Public

Lecture 22 Underwriting Agreement

Lecture 23 Best Effort Agreement

Lecture 24 IPO in the UK

Lecture 25 Dutch Auction

Lecture 26 IPO Underpricing

Lecture 27 Implied Bidding Patterns

Lecture 28 QIP and FPO

Lecture 29 FPO Secondary Offering

Section 6: Issue

Lecture 30 Understanding Right Issue

Lecture 31 Working with Right Issue

Lecture 32 Cases in Right Issue

Lecture 33 Price Ratio

Lecture 34 Cost of Capital

Lecture 35 Valuation Metrics

Lecture 36 IPO Raw Model

Lecture 37 IPO Fees and Expenses

Lecture 38 Issuer Assumptions

Lecture 39 Underwriting Discount

Section 7: IPO Model

Lecture 40 FDSO Metrics

Lecture 41 Option Outstanding

Lecture 42 Overallottment Shares

Lecture 43 Pro Forma Shares

Lecture 44 Calculating Offering Size

Lecture 45 IPO Discounts and Fees

Lecture 46 Market Capitalization

Lecture 47 Potential Price Range

Section 8: PE Multiple Method

Lecture 48 Forward PE Multiple

Lecture 49 IPO Transaction Assumption

Lecture 50 Building Up Data

Lecture 51 Implied Offering Price

Lecture 52 Capital and its Trading

Lecture 53 Primary and Secondary Issued

Lecture 54 Overallottment

Lecture 55 Net IPO to Issuer

Lecture 56 Net Proceeds

Lecture 57 Equity Value Pricing

Lecture 58 IPO Offering Price

Lecture 59 Primary Shares Issued

Lecture 60 Post Money Equity Value

Lecture 61 Total Offering Size

Lecture 62 Calculating Valuation Multiple

Lecture 63 Non Controlling Interest

Lecture 64 Calculating EV by EBITDA

Lecture 65 Evaluating IPO Case Study

Section 9: CCD Case Study

Lecture 66 Assumptions Based on Growth

Lecture 67 Dividing Revenue

Lecture 68 Group Companies

Lecture 69 Methodology Terms

Lecture 70 DCF Valuation

Lecture 71 Calculating Market Share

Lecture 72 Revenue Per Outlet

Lecture 73 General and Administrative Expenses

Lecture 74 Market Share of Brands

Lecture 75 Geographical Spread of Brands

Lecture 76 Notes on Assumptions

Lecture 77 Pareto Analysis

Lecture 78 Calculating Raw Material Cost

Lecture 79 Percentage of Fee Revenue

Lecture 80 Use of IPO Funds

Lecture 81 Current Liabilities

Lecture 82 Summary on Income Forcasting

Lecture 83 Other Operating Income

Lecture 84 Expense and Material Cost

Lecture 85 Selling and Administrative Expenses

Lecture 86 Evaluating on Working Capital

Lecture 87 P and L and Balance Sheet

Lecture 88 Application of Funds

Lecture 89 Sources of Funds

Lecture 90 Existing Loans and Repayments

Lecture 91 Loan Schedule

Lecture 92 Calculating Depriciation

Lecture 93 Acculated Depriciation

Lecture 94 Total and Gross Block

Lecture 95 BS and P and L Data

Lecture 96 Equity and Liabilities

Lecture 97 Goodwill on Consolidation

Lecture 98 PBT for MAT

Lecture 99 Effective Tax Rates

Lecture 100 Utilization Tax Credit

Lecture 101 Actual Tax Paid

Lecture 102 Deferred Tax Asset

Lecture 103 Deferred Tax Asset Liability

Lecture 104 Cash Flow Statement

Lecture 105 Cash Flow from Financing

Lecture 106 Cash Flow from Operations

Lecture 107 Cash and Cash Equivalent

Lecture 108 Formula and DCF Technique

Lecture 109 Evaluating Depriciation

Lecture 110 Discounting Factor

Lecture 111 Formula Definitions

Lecture 112 Repayment of Terms Loans

Lecture 113 Calculating EBIT

Lecture 114 Calculating Outside Liabilities

Lecture 115 Current Ratio Excluding Cash

Lecture 116 EV-EBITDA Valuation

Lecture 117 Long Term Debt

Lecture 118 Calulating Average WACC

Lecture 119 Calulating Average EBTDA

Lecture 120 PE Multiple Method

Section 10: Conclusion

Lecture 121 Conclusion with PE Multiple

Lecture 122 Final valuation of DCF

Treasurers, Accountants, Analysts, Sales Managers, Investment bankers, Fund managers, Finance professionals, Anyone who want to learn about equity capital markets