++ Investment Banking Institute Providing Financial Training Solution to Capital Market Aspirants Certification in “Financial Modeling and Company Valuation” From Investment Banking Institute “Basic and Advance Excel Specialist” from MICROSOFT (USA) Bridging the gap between academics and practical applications IBInstitute Mob:. +91-9312222566 ½ East Patel Nagar Mob:. +91-9896999313 East Patel Nagar Metro Station, Investment Banking Institute www.ibinstitute.in New Delhi-110008
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Investment Banking Institute Providing Financial Training Solution to Capital Market Aspirants
Certification in
“Financial Modeling and Company
Valuation” From Investment Banking Institute
“Basic and Advance Excel Specialist”
from MICROSOFT (USA)
Bridging the gap between academics
and practical applications
IBInstitute Mob:. +91-9312222566 ½ East Patel Nagar
Mob:. +91-9896999313 East Patel Nagar Metro Station,
Investment Banking Institute www.ibinstitute.in New Delhi-110008
Financial Modeling & Company Valuation Using Excel and VBA 2 Months / 16 Days
Investment Banking Institute (IB Institute) is an "independent and autonomous training institute” which offers advanced
level practical training on Advance Excel, Fundamental Analysis, Equity Research, Financial Modeling, Project appraisal,
Company Valuation, Mergers and Acquisition and Advance Macro (VBA) to Working professionals and students. IB Institute was founded in 2009 by the ex-consultants and investment bankers having experience from top notch Investment
Banking and consulting rms in the World. IB Institute provides instructor-led (Live) training and e-learning (Online) courses
which develops the competitive pro les of the students for the interview and the working professionals on the job.
After two years of successful completion, IB Institute is proud of training over 600 students in over 40 batches. The reason
for success is the passion for teaching as well as exceptional experience of our trainers who are imparting their best and
sharing their live experience. We ensure to make the session more live, provide more exposure with real issues to make a
great learning experience for everyone.
Our teaching methods ensure maximum comprehension in the shortest possible time. We provide a dynamic learning
environment with lots of practical hands on exercises and real world examples. In general, all high-paying nance jobs will
require knowledge and skills found in our syllabus for the interview and on the job. Reading the annual report, Financial
Statement analysis, Forecasting, Valuation and nancial modeling are an integral part of the day-to-day responsibilities of
any professional working in the main stream Finance.
We offer our training program in the workshop format. All these workshop are interactive based on real life situation.
Beside, we make full use of, Participatory Exercises, Case Studies, and Practice Sessions. The Participant are given
Comprehensive Reference Material & workbook witch is used by them during the workshop. The material also serves as a
useful guide in future.
Note: Candidate will be designing these models from scratch .
Course Highlights:- 1.Basic and Adv. Excel 2.Financial Accounting and Financial Statement Analysis 3.Navigating the Annual Report 4.Financial Modeling using Adv. Excel 5.Valuation Techniques (DCF, Relative Valuation, Transaction) 6.Mergers and Acquisition 7.Visual Basic of Application (Macro in Excel)
Industries where Financial Modeling is Used:-
Investment Banking
Project Appraisal Private Equity Hedge Funds Equity Research Corporate Finance Knowledge Process Outsourcing Asset Management Rating Agencies Consultancy
Companies:-
1. Copal Partners 11. D E Shaw
2. Evalueserve 12. ICRA
3. Adventity 13. Analec Research 4. Ernst & Young 14. pipal Research 5. Amba Research 15. Smart Cube
6. Aranca 16. Transparent Value 7. SBI Capital 17. Morning Star 8. Barclays Capital 18. McKinesy
9. CiansAnlytics 19. JP Morgan
10. Crisil 20. Gridstone Research
Financial Modeling & Company Valuation Using Excel and VBA 2 Months / 16 Days
Day 1,2& 3: Excel 2010 for Professionals:
Here at IB Institute, we are specialists in offering expert level training courses for you to learn
Advanced Excel and other great features of Excel. As part of our Advanced Excel training you will
gain the necessary knowledge required for the ef cient use of the tools and other exciting features
which this outstanding software has to offer. There are many features which Advanced Excel has to offer to its user. In this training, we explain
each & every advance tool which is used by practitioners. IB Institute's training leaves no stone
unturned when it comes to making sure that you learn the Advanced Excel effectively and
ef ciently. In this way you will have the capabilities and required knowledge to really unleash the great
power of Advanced Excel once you have made use of the Advanced Excel training courses which
we provide.
Day 1 Basic Excel Formulas and Functions:-
De ne short cut key to open Excel Basic Mathematical Functions: Sum, Average, Sub Total, Sum
ProductBasic Insert and delete short cuts to improve working with
ExcelCustomizing Short cut keys, Find and Replace, AutoFill Paste Special, Sorting, Go to Special, Clear tools, AutoFill, Formulas Auditing
toolsLogical Functions:IF, Nested IF, IF with And & Or, Use of $, Use of & to
concatenate Statistical Functions: SumIF, SumIFs, AverageIF, AverageIFs, CountIF, CountIFs Database Functions:Dsum, Daverage, Dmax, Dmin, Dcount, Dget Math & stat Function:Rank, Large, Round, Trunc, Int, Mround, Ceiling,Floor Etc Three dimensional Formulas, SubTotal to summarize the data, Remove duplicates, Text to ColumnsWorking with Ranges, Conditional Formatting, Grouping
Day 2 Adv Formulas and Functions
Information Functions:IfError,IsError, IsNumber, IsBlank, Cell Lookup Functions:Vlookup, Vlookup with IF, Match and IsError, Index, Indirect,
UpperAdv Sorting, Filter, Adv Filter, Data Validation, Consolidate, De ne ranges Protection of ranges, sheets, workbook, Track changes, working with multiple worksheets
andworkbooks, save workspace, Spinner, scroll bar, List box, combo box
Effect,CumIPMT, CumPrinceetc Date & Time: Custom Formatting, Date & Time Conventions, Today, DatedIF,
Weekday,Networkdays, Workday, Edate, Eomonth etc What if Analysis: Goal Seek, Data Table for sensitivity analysis, Scenario
managerUnique excel calculations and features Inserting sparklines, Setting document permissions Pivot table with large amount of data, Cover all Tabs from Home to Developer
Financial Modeling & Company Valuation Using Excel and VBA Using Excel and VBA 2 Months / 16 Days 2 Months / 16 Days
Day Financial Statements Analysis and Accounting:
4 & 5
Financial and Valuation Modeling requires a solid understanding of accounting and nancial statement interaction.
Accordingly, IB Institute has developed Crash Course in Accounting & Financial Statement Analysis, which is very
important for students with a limited knowledge of accounting or who wants to refresh their accounting concepts in a fast
track mode without leaving the important concepts behind.
We are not looking for a Debit / Credit discussionhere; we shall focus more on structure
of Financial Statements, all different line items and how Financial statements are linked
with each other.
Our in-depth course in Financial Statements helps you learn and
masterthe subject which is actuallyvery critical to the start ofyour nance
career. This course will make you a Future Finance Professional not an
accountant as the focus is on analysis, proper interpretation and check
manipulation of accounting numbers to getcloser to the real No's required
for analysis and valuation.
Income Statement, Balance Sheet, Cash Flow Statement de ned and
importance explained
Go through every line item of the Financial statements and Related accounting
standardInteractions between nancial statements and do an Impact analysis
Understand how nancial statements are linked and how change in one item affect the
othersOverview and explanation of all major nancial ratios and there uses in difference
sectorsDuPont RoE, Breakup of RoIC (RoIC tree)
Understand various accounting methods used and their implication to the Financial
StatementsLearn all the three Financial Statements with Numerical Examples and cross check
with the AnnualMethods of Consolidations of a subsidiary company with the holding company
Financial Reporting vs Tax reporting, Reasons for Deferred
taxComplete with exercises that test and reinforce covered
concepts.
This part of the course ef ciently provides the required accounting foundation for students enrolling in the Adv Level
courses of IB Institute
Day
6 & 7 Basic Financial Modeling Using Excel (Case Study of FMCG)
Overview of the Program:
Financial Modeling refers to the process of building a structure that
integrates the Balance Sheet, Income Statement, Cash Flow Statement and
supporting schedules to enable decision making in areas like, Business
Planning and Forecasting, Equity Valuation, Credit Analysis/Appraisal, Merger/acquisition analysis, Project Appraisal etc. Trainees learn how to
build full, dynamic Financial Statement Projection models in Excel from
scratch, using real case studies and sensitivity analyses.
Participants develop a model completely from scratch, inputting historical data
and assumptions to project nancial statements using step-by-step instruction
on selecting and developing appropriate projection drivers. At completion,
participants will have developed a complete and comprehensive three-statement model using various supporting schedules.
Financial Modeling & Company Valuation Using Excel and VBA Using Excel and VBA 2 Months / 16 Days
2 Months / 16 Days Interactive, Step-by-Step Learning Approach:
Participants are given step by step instructions to build comprehensive models from scratch, the way it is done on the job
by the Investment Banker. They are directed to external documents and resources (like Annual Report, Press Release,
Quarter lings etc) needed for more information to make the model more accurate.
Key Learning Outcomes
Building comprehensive nancial models from scratch for a Listed Company.
Learn to de ne assumptions and make forecast for Income statement, Balance sheet and Cash Flow statements with
required item based schedules.
Integrate assumptions and drivers into nancial models based on the information available in the Annual report.
Design various supporting schedules of: Working Capital, Deferred Taxes, Property, plant and equipments /
Depreciation, Intangible Assets, Retained Earnings , and Debt & Interest
Calculate Ratios to identify Strength and weakness of the Firm
Perform sensitivity & Scenario analysis using data tables, Choose and Offset
Balance the model using the debt schedule and debt sweep logic.
How does the revolver facility actually balance the model?
How the nancial statements are integrated using the Interest schedule?
What are circular references, why should2theyMonthsbeavoided/and16howDaystodeal with circular references
Day Oil & Gas Financial Modeling 8 & 9
By now the participants would have learned the art of Financial Modeling. They should have under stood
the Advance Excel, Financial Accounting, various ways to prepare schedule for Financial statements. In this part of the course, we are becoming more technical into Financial Modeling and prepare
more robust Oil and Gas sector based Financial Model for a US listed company.
This course is designed for nance professionals who are willing to pursue or pursuing
career in Oil & Gas. You will get deeper knowledge about the participants in the sector,
accounting terminology, key challenges, and major line items of Oil & Gas Company.
This course allows trainees to develop an in-depth understanding of the industry,
including nancial statement analysis, appropriate Oil & Gas projection drivers such as
commodity prices, production volumes, and operating costs. At completion, trainees
will have developed comprehensive nancial and valuation models for an Exploration
& Production company case study.
Key Learning Outcomes:- Different business segments – Upstream, Midstream,
andDownstream – that make up the O&G industry Oil and Gas accounting and Financial statements
analysisLinks between three Financial statements and how they are
different with normal companies
Understand different types of Oil & Gas Reserves
Learn different ways of presenting Oil & Gas
reservescapacity, production into units Conversion factor of Oil to Gas and Gas to Oil,
Factors determining crude oil and natural gas
pricesLearn O&G terminology, units, and key
related termsDistinguish between full-cost and successful efforts
accounting methods
How to Forecast crude oil and natural gas prices
Various ways to project Revenue of E&P company and how
toproject operating expenses Make projections for Exploration cost,
Financial Modeling & Company Valuation Using Excel and VBA 2 Months / 16 Days This is not "academic nancial theory," but exactly what we do in real life in an investment bank. After this course, you will
differentiate yourself from other IB professionals and students at top schools – even those with the best academic pedigrees
and the highest GPAs.
Valuation is the Process to determine the current worth of any asset. In our course, the asset is a company. For
the valuation of companies, following are the three widely used techniques.
In general all main stream nance pro les require the valuation skills found in our course. We shall take the most
important three techniques which are used in every research house, Rating agency, Investment bank, consulting rm,
Private equity and KPO. We shall understand the application of the techniques with real case studies and companies.
Day 10 Discounted Cash Flow model (DCF) Modeling:
In Financial modeling, cash ows are only forecasted where as in DCF valuation; those cash ows are used to derive the
intrinsic value of the company.
So by now the participants would have learned how the Financial Model is designed and Projections are made for the Company.
Now we learn how to use Financial Models in Valuations. Valuation is the most important part the investment banking and
corporate nance skill set. You need to have theoretical knowledge of valuation before building valuation models.
Key Learning Outcomes
When the theoretical frame work is laid down, the participants start learning DCF model which includes the calculations
of FCFF, WACC, Terminal Value, Levered and un-levered Beta and Intrinsic Value.
Using cash ows forecasted in the course, participants learn to
prepare a DCF valuation model in Excel from scratch
Understand differences between Enterprise value & Equity
value, relative value & intrinsic value, Un-levered and levered
free cash ows, and the implication on Enterprise value and
implied share price.
Deal with Non-equity claims, WC, CapEx and debt related items
Calculate Terminal value with Multiple and Perpetual method
Use of CAPM to calculate the discount rate by deriving the
cost of debt of equity.
Understand the role of capital structure in determining beta,
the cost of equity, and ultimately WACC.
Understand use of beta and how to de-lever and re-lever beta
and implication on WACC.
Calculate shares outstanding using the treasury stock method
when Dilutive securities are ITM (In-the-Money)
Utilize the enterprise value to determine implied share prices.
Calculating net debt and treatment of debt equivalents such
as preferred stock, convertible securities , capital leases , and
minority interest
Calculating options and convertible securities using both
the standard and treasury stock methods
Financial Modeling & Company Valuation Using Excel and VBA
2 Months / 16 Days Day
11 & 12 Relative valuation modeling in Excel:
Comparable Company Trading Analysis ('Comps') is the most basic but effective valuation tool used by investment
bankers and analyst. This technique used in all kinds of valuations. For example:- Private market valuation, IPO valuation,
comparative analysis, identifying potential targets for M&A etc
Establishes value of A Company and measures its performance vis-à-vis the operating and trading statistics of company's
peer group
Training Methodology:
The participants are rst explained how to select the Peer Group (Comparables) before building the Models for Relative
Valuation. In this part of the Program, we shall learn to design the real Template for Trading Combs which is actually used
various Research companies.
Then we shall take 10 companies from world over for relative valuations.
Then participants are directed to build superb comps models in Excel from scratch, using real case studies, industry best
practices, and sensitivity analyses. This model includes Switches, Output sheet, Valuations sheets, Currency Converter and forecasts.
Leaning Outcomes:
· Participants learn to select appropriate comparable
companies by evaluating operational, nancial, size, and
other similarities
· Set evaluation benchmarks & select comparable companies
· Gather appropriate nancial history and projections
· Normalizing operating results and calculating LTM
operating results
· Exclude nonrecurring charges, normalize for stock option
expense
· Standardize various expense classi cations including FIFO
to LIFO inventory accounting
· Calculate shares outstanding using the treasury
stock method
· Input nancial data & calculate and interpret nancial and
market ratios
· Presenting trading comps by structuring output schedule
· Selecting and Evaluating Appropriate Multiples (P/E Trailing and forward, EBIT Multiple, EBITDA Multiple,
P/B Multiple, Revenue Multiple, PEG)
· Calculate and interpret nancial and market ratios Common analytical challenges including Calandarization,
nonrecurring items, dilutive securities, and classi cation issues are addressed using industry best practices.
Day
13 Transaction Valuation Techniques:
The “Comparable Transaction Analysis” or “Comparable Acquisition Analysis” is based on the premise thatthe value of a
company or an asset can be estimated by analyzing the prices paid by purchasers ofownership interests in reported
comparable acquisitions.
The analysis provides a history of selected transactions either in one particular industry or in one area where acquired
companies have relatively similar characteristics in terms of economic drivers such asbusiness mix, customer base,
distribution channels, industry dynamics, etc.
Transaction multiples de ne the prices which acquirers are willing to pay for control of the target companyin the context of an
acquisition transaction. By applying transaction multiples to the nancial results ofthe company being analyzed, it is possible
to determine a range of value.
Learning objective: 3.Computation of Equity Value 6.Calculation of LTM Net Income, EBITDA
1.Company Description 4.Determination of Net Debt Assumed and EBIT
2.Identi ication of Comparable companies 5.Calculation of Firm Value and share price 7.Computation of transaction multiples
Financial Modeling & Company Valuation Using Excel and VBA 2 Months / 16 Days
Day
Mergers and Acquisition Analysis” 14
Overview of the Program:
· The participant are rst explained the concepts of
Merger and acquisition. · Participant build a model of M&A to see the pro
forma impact of various scenario post merger
· Understand the allocation of purchase price with
Purchase method of accounting post merger
· Under the accretion-dilution in EPS after the
merger in various scenario after adjustments
· Various methods for the payments (Stock based or
cash based) Prepare a comprehensive Merger Model:
· Design and Set up a control area for assumptions and drivers · Learn to deal with deal assumptions and various issues like (% cash vs. stock considerations, Purchase premium,
Asset write-ups, Advisory fees, Financing fees, and severance fees)
· Use of Treasury method to calculate shares outstanding · Appropriate treatment of convertible securities like Options, Warrants, Convertible debt and Preferred stock · Calculate Goodwill while allocating Purchase price to assets after re-evaluation of the assets of the target company · Adjust the Balance sheet and prepare the pro-forma Balance Sheet · Calculating Sources & Uses of funds with making the operating & synergy projections · Calculate the EPS post merger after making the adjustments to Income statement and prepare the pro-forma
Income statements
· Synergies required to break-even before and after tax if premium is paid · Sensitivity analysis: EPS accretion/dilution in stock vs. cash deal; interest rate assumptions, premium paid. · Analysis of contribution of Revenue, EBITDA, and Net Income post merger
This model is designed with very practical approach to see the impact of acquisition of one company by another
company after the real adjustments have been made to Financial Statements. M&A Accretion/Dilution Modeling
· Superb exhaustive accretion-dilution analysis · Buy side and sell side processes · Project the Consolidated Financial statements post merger and do the various adjustments for goodwill calculation · Handle the Fair market value write ups, advisory fees and nancing fees and debt re nancing · Learn the proper treatment of various items like deferred taxes created in M&A and convertible securities and options.
Day Basic and Semi Adv. Macro (VBA)
15
Understanding Macro (VBA) Recording a Basic Macro, assign short cut key,
addingcomments to macro
Write basic Macro to Understand VBE environment Running a macro, Saving Macro le, debugging the
macro,Understanding Security
Understand Input box, msgbox Commands,
createinteractive macro
Do while…..Loop, Do Until…….Loop, For……Next, IF, If with IF
