Complements of Corporate Finance

The syllabus themes are teached through oral expositions, supported with documentation and slides
previously prepared and given to the students and complemented with the presentation and discussion of
practical works. The students evaluation is done through an evaluation test (representing 75% of the result)
and a group case study (representing 25% of the result) having each group a maximum of three elements. The
group work can be done on real cases analysis, related to students known firms. The students’ presence and
participation in the teaching sections will be an important factor of their final evaluation and distinction.

The goal of the course is to complement the student’s preparation for the financial decisions process taking, in
a corporate environment. Given the syllabus of other finance subjects of the course, here the following
additional issues will be discussed: mergers & acquisitions and international finance. It is, therefore, intended
that students become familiar with the use of methodologies and analytical techniques within these specific
issues.

1. Introduction; history and features of M&A.
2. Theories of merger activity: “good” and “bad” reasons to do M&A.
3. Empirical evidence on M&A activity.
4. Takeover defenses. Financing method. Form of payment.
5. Leveraged BuyOuts
(LBOs). Theory and empirical evidence.
6. Introduction to international finance.
7. The determination of exchange rates.
8. The international financial system.
9. The foreign exchange market.
10. Management of the translation, transaction and economic risk exposures.
11. International financing.

NAO