UCL School of Management

Module Fact Sheet

MSIN0109: Advanced Corporate Finance

Level
Masters, level 7
Prerequisites
Yes, MSIN0149 Corporate Finance.
Eligibility
MSc Finance students only
Terms
3
Delivery method
3-hour lecture (x 5 weeks)
Assessment
Online tests x 5 100%
Previous Module Code
MSING070

Course overview

This module builds upon the theory within the core module Corporate Finance delivered during Term 1. The objective is to apply the specific knowledge acquired in the Corporate Finance module to develop strategies relating to assess the effectiveness of the finance function in large corporations with the objective to maximise shareholder value (MSV). A specific emphasis is the process, objectives and proceeds of a) company valuation through traditional DCF methods, b) company pricing and c) the understanding and evaluation of different approaches to the dividend policy. The learning outcomes respond to the need of increasing students’ knowledge if they aim to work in the financial industry where they may be requested to value companies for different reasons. Illustratively, areas where this knowledge is necessary include roles within the buy/sale interests from Private Equity or Venture Capital firms, Investment Banks or Boutique Investment firms. 

Learning outcomes

  • Understand how international capital markets work.
  • Understand the pros and cons of issuing different financial instruments and how this selection impacts the cost of capital and company value. 
  • Perform company valuation through traditional/conventional techniques (DCF) and multiples, and evaluate the consequential valuations.
  • Understand, critique and evaluate differing approaches to Dividend Policy. 

Topics covered

  • A variety of financing instruments for corporate short and long term financing needs
  • Financing through Venture Capital Companies and Private Equity funds
  • The IPO process including pricing
  • Raising debt through a bond issue including pricing
  • The dividend policy
  • Company valuation through DCFs and multiples analysis
  • Changes in the OCS and its impact on company valuation (if time allows it)

Assessment summary

Online tests x 5 100%

Current students should refer to Moodle for specific details of the current year’s assessment.

Essential reading

Book chapters to be assigned.

Past versions of this module

MSIN0109 18/19

MSING070 17/18

Last updated Wednesday, 26 June 2019