FINANCE 654 - Advanced Corporate Finance

Course Description

This is an advanced course in corporate finance. This course builds on the introductory course in financial management and the subsequent corporate finance course. We will focus on a large variety of important corporate decisions through a series of cases. The first part of the course deals with the fundamental areas of corporate finance: capital structure, payout policy, capital budgeting and investing. We will, in particular, emphasize the importance of valuation (including real options) in corporate decisions. The second part of the course deals with major events the firm deals with capital markets, in particular going public, issuing convertible debt and seasoned equity. Finally, we also examine risk management and financial engineering strategies of large firms.

Class Format

The material in the class will be covered largely in case discussions. The course will be demanding because students are expected to have read and prepared the case thoroughly as well as read and absorb any necessary theory or background material before coming to class. Before coming to FINANCE 451 students are expected to have completed the relevant core courses. It is desirable to have also completed the corporate finance course, FINANCE 351, as valuation techniques learnt there will be used in this course.