Course curriculum

  • 1

    Introduction to M&A Modeling

    • Course introduction

    • Course downloads - M&A model and reference files

    • Course objectives

    • Types of advanced financial models

    • Transaction details

    • Forms of consideration & synergies

    • Purchase price allocation and accretion/dilution

    • M&A case study overview

    • Interactive exercise 1

  • 2

    M&A Modeling Process

    • 10-step M&A process

    • M&A templates and resources

    • Strategic versus financial buyers

    • M&A model conceptual representation

    • 6-step M&A modeling process

    • Case study model layout and structure

    • Case study steps overview

    • Interactive exercise 2

  • 3

    Acquirer and Target Models

    • Structure of target and acquirer models

    • Financial statement mapping

    • Income statement mapping

    • Balance sheet mapping

    • Comparing acquirer and target statements

    • Creating the transaction stub period

    • Stub income statement

    • Stub balance sheet

    • Stub cash flow

    • Stub supporting schedules

    • Interactive exercise 3

  • 4

    Transaction Assumptions

    • Deal assumptions

    • M&A transaction inputs

    • Setting up scenarios

    • Purchase price

    • Sources and uses of cash

    • Shares issued and shares outstanding

    • Goodwill and purchase price allocation (PPA)

    • Interactive exercise 4

  • 5

    Closing Balance Sheet

    • Closing balance sheet introduction

    • Acquirer and target balance sheets

    • Fair value adjustments

    • Other adjustments

    • Consolidated pro forma balance sheet

    • Interactive exercise 5

  • 6

    Pro Forma Financial Model

    • Pro forma model overview

    • Merger integration revenue

    • Merger integration expenses

    • Combined income statement

    • Combined balance sheet

    • Changes in working capital

    • Depreciation schedule

    • Debt schedule

    • Target and acquirer debt

    • Interest schedule

    • Completing the cash flow statement

    • Pro forma DCF model setup

    • Pro forma DCF free cash flow

    • Pro forma DCF model NPV

    • Interactive exercise 6

  • 7

    Accretion & Dilution Analysis

    • Accretion dilution analysis

    • Earnings per share (EPS) impact

    • Cash flow per share (CFPS) impact

    • Testing scenarios

    • Interactive exercise 7

  • 8

    Sensitivity Analysis & Share Price Impact

    • Sensitivity analysis overview

    • Estimating change in intrinsic value per share

    • Impact on capital structure

    • M&A sensitivity data tables

    • Testing sensitivity analysis

    • Interactive exercise 8

  • 9

    M&A Modeling Conclusion

    • Download completed M&A model

    • Review of completed financial model

    • Summary

  • 10

    Qualified Assessment

    • Qualified assessment

    • Share Your Feedback

    • Course Completion