Programme

PGPX

Term

IV

Academic Year

2021-22

Course title

Private Equity Finance

Area

Finance and Accounting

Credits

1.00

Instructor(s)

Prof. Ramesh Bhatt (VF)

Course Description & Objectives

Objectives: The objective of this course is to help the participants to understand the dynamics of private equity finance (PEF) by focusing on nature and characteristics of this sector, institutions in PEF, the principal participants, financial and operational strategies they employ and skills required. This would be achieved by: Provide an understanding of the role of PEF in the development and growth of corporate sector, the structure of the PEF industry and its institutions, its participants and the dynamics of financial and operational strategies that shape its growth and development Using the PEF framework participants can apply many of the ideas and theories developed in the core finance courses to PEF segment of the financial industry Discuss issues in valuation employed in PEF transactions including valuation of intangibles, absence of markets, and addressing various other imperfections Discuss analytical and deal structuring techniques used in PEF after considering complexities such as uncertainty or asymmetric information Developing an understanding of the roles played by various stakeholders in PEF market and understanding the organisation and incentive structures of private equity funds, and the complexity of relationships with the companies in which they invest. The topics covered in this course primarily focus on areas which would be useful to participants interested in working with venture capital or private equity organisations. However, the course learning would also be useful to those who intend to work in companies being financed by private equity or venture capital organisations. Overall the course would be useful in helping the participants to develop an understanding of private equity finance concepts and its application in any organisation situation.