We will look at various valuation methodologies applied in the market, from a private equity and venture capital point of view, evaluating each and it applicability. We will also consider complex equity structures and the implication on equity value. We will do so by initially focusing on the impact of dilution on common stock, varied classes of shares and then proceed to consider other scenarios such as how preference shares, convertible debt/note and share options should be considered.
Course ID: AVCES
Applied Valuations and Complex Equity Structure considerations
Learning Objectives
- Determine the difference between the valuation methodologies
- Identify how to critically review and assess a value report
- Determine how to allocate equity in complex equity structures
- Analyze how to value private equity and venture capital portfolio companies
Major Topics
- Latest developments and overview of the regulatory environment
- Valuation Methodologies
- Impact of Complex Equity Structures
- Overview and application of the Equity Allocation Models: The Probability-Weighted Expected Return Method (PWERM); The Option Pricing Method (OPM); The Current Value Method (CVM); The Hybrid Method
Who Should Attend
Anyone interested to develop their valuation skills
Fields of Study
FinancePrerequisites
- A basic understanding of finance and funding principles
- A working knowledge of valuations and its basic principles is advised