Course: Corporate & Financial Restructuring

Programme Outline

Day 1 – Introduction to Restructuring

• The Restructuring Framework
• Proactive – planning the restructure before it is needed
• Defensive – planning the restructure because it is needed
• Distress – planning the restructure when the is no choice
• Restructuring parties
• Creditors – what do they expect
• Shareholders– what do they hope for
• Employees– what do they wish for
• Case study
• Excel model for decision

 Day 2 – The Why & How of Restructuring

• The Why & How of it
• Why companies really restructure
• How do companies successfully restructure in today’s world
• When is the right time to restructure
• The coordination and implementation of it all
• The checklist for success
• The “as is” value – what is the firm worth today
• What is the product/service mix to decide what to keep and what to divest
• Strategic partner or merger – the difference brings what value
• Leverage – yes or no; pros & cons
• Example
• Case study
• Excel model for decision

Day 3 – Valuation in Restructuring

• Valuation
• Which approach to use to be most accurate
• Liquidation value
• Fire sale
• Orderly
• Asset-based methods
• Comparables – market driven
• Free cash flows
• Free cash flow to the firm
• Free cash flow to equity
• Option-based
• Case study
• Excel model for decision

Day 4 – Leverage

• Leveraging and deleveraging
• Leverage – yes or no; pros & cons
• Establishing required rates of return
• Adjusting the costs of debt and equity for leverage
• Leverage optimization through capital structure (Example)
• Bond buybacks (Example)
• Leveraged Buy Out (LBO)
• Going private – the costs vs. the benefits
• The rationale for high leverage
• Calculating your capacity for debt
• Case study
• Excel model for decision

Day 5 – Divestitures

• Divestitures
• Why divest a business unit
• The rationale for divestiture vs. alternatives
• Divestiture vs. a spin off
• Equity carve-outs
• Voluntary liquidations
• Case study
• Excel model for decision
• Summary and Conclusion

The Scandinavian Academy for Training and Development adopts the latest scientific and professional methodologies in training and human resource development, aiming to enhance the efficiency of individuals and organizations. Training programs are delivered through a comprehensive approach that includes:

• Theoretical lectures supported by PowerPoint presentations and visual materials (videos and short films).
• Scientific evaluation of participants before and after the program to measure progress and knowledge acquisition.
• Brainstorming sessions and practical role-playing to simulate real-life scenarios.
• Case studies tailored to align with the training content and participants work nature.
• Assessment tests conducted at the end of the program to evaluate the achievement of training objectives.

Each participant receives the training material (both theoretical and practical) in printed form and saved on a CD or flash drive. Detailed reports, including attendance records, final results, and overall program evaluations, are also provided.

Training materials are prepared professionally by a team of experts and specialists in various fields. At the end of the program, participants are awarded a professional attendance certificate, signed and accredited by the Scandinavian Academy for Training and Development.

Program Timings:

• 9:00 AM to 2:00 PM in Arab cities.
• 10:00 AM to 3:00 PM in European and Asian cities.

The program includes:

• A daily buffet provided during the sessions to ensure participants comfort.

Introduction

Just because a company needs restructuring – financial or operational – does not mean it will do so. An erosion of Stakeholder value may occur for a variety of reasons, including Management interference. This program shows you how to do things right.

Corporate restructuring is defined as any fundamental change in a company’s business or financial structure, designed to increase the company’s value. Corporate restructuring is often divided into two parts; either 1) Financial restructuring or 2) Operational restructuring. This seminar emphasizes the practical side of corporate restructuring in today’s ever-challenging world. It focuses on the two objectives of the practical application through case studies, examples and Excel® models as well as discussions of alternatives.

Main ideas explored include:

• What is restructuring & what are the alternatives
• When & why should you restructure vs. not
• How to calculate the “real” value of a firm both before & after a restructuring
• What is Leverage; when to use it and how best to finance it
• When to divest an operating unit & how to do it to optimize the remaining value

Seminar Objectives

On completion of this module delegates will be able to:

• Fully understand the various form of restructuring
• Discuss the real difference between Corporate & Financial restructuring
• Know when to acquire vs. divest an operating unit
• How to value an entity or an entire firm
• Know when to Leverage vs. Deleverage
• Learn to use a range of Excel models (provided)

Training Methodology

The training comprises teaching sessions covering each topic area with the theory blended with practical application. Additionally, real world examples & case studies will be used so that the Delegates will be able to apply these techniques immediately. Delegates then use the provided Excel® templates to apply their new knowledge case studies to reinforce the concepts.

Organizational Impact

The organization will benefit by:

• Having Experts in-house to develop advanced decision support models
• Higher productivity of personnel involved in restructuring analysis
• Improved performance of corporate & financial restructuring methods
• Better ways to plan & measure results of decisions
• Realizing better options when facing divestiture choices
• Better integration between functional areas leading to better decisions

Personal Impact

The delegate will benefit by:

• Developing an improved understanding of the risks & benefits of corporate & financial restructuring in today’s challenging world.
• Really understanding the risks & rewards of leverage
• Being able to calculate the value of the firm in the real world
• Understanding to cost/benefit of a divesture
• Enhancing their knowledge with the use of the models in the case studies
• Significantly increasing their Excel® analysis skills

Who Should Attend?

• Corporate finance officers
• Strategic planners
• Accounting
• Lenders
• Investors
• Mergers & Acquisition specialists
• Corporate officers
• Commercial and investment bankers
• Securities analysts
• Private equity specialists
• Asset managers
• And other individuals whose professional future may be enhanced by an understanding of restructuring techniques.

The Scandinavian Academy for Training and Development is committed to hosting all training programs in dedicated and well-equipped hotel facilities specifically designed for conducting and delivering training sessions, unless explicitly stated otherwise on our website. Participants will be notified of the program venue within 7 to 21 days prior to the programs start date, based on the Academys assessment and the programs circumstances. The Scandinavian Academy for Training and Development emphasizes that it holds no responsibility for any force majeure events that may prevent the program from being held at the designated venue. Nevertheless, the Scandinavian Academy for Training and Development will make every effort to provide suitable alternatives and extend the necessary support to participants in the event of a venue change due to unforeseen circumstances.