Private Equity Leveraged Buyouts LBOs

Learn LBOs Value Drivers: Growth in EBITDA, Multiple Arbitrage, & Leverage. Also the Adjusted Present Value (APV) Method
Private Equity Leveraged Buyouts LBOs
File Size :
3.68 GB
Total length :
3h 7m



Carlos Martínez, PhD


Last update




Private Equity Leveraged Buyouts LBOs

What you’ll learn

Understand the fundamentals of private equity: Gain a solid understanding of the key concepts, principles, and processes involved in private equity investments,
Master leveraged buyout (LBO) transaction evaluation: Develop the skills to evaluate leveraged buyout transactions using the adjusted present value (APV) method
Apply qualitative analysis techniques: Acquire the ability to perform a qualitative analysis of a private equity transaction, examining factors such as growth p
Build advanced financial models: Enhance your financial modeling skills by constructing Excel models that capture the complexities of leveraged buyout transacti
Develop decision-making capabilities: Sharpen your decision-making skills by evaluating a private equity transaction from multiple perspectives, including those
Prepare for finance careers: Equip yourself with the practical skills and knowledge sought after by employers in the finance industry. Enhance your career prosp

Private Equity Leveraged Buyouts LBOs


There are no specific prerequisites for this course. It is designed to accommodate both beginners and individuals with some prior knowledge in finance or related fields. However, having a basic understanding of financial concepts such as free cash flows and the net present value method would be beneficial. Familiarity with Excel and financial modeling will also be advantageous, but not mandatory, as the course provides guidance and examples to support learning in these areas.
Microsoft Excel: The course heavily utilizes Excel for financial modeling exercises. It is recommended to have Excel installed on your computer. While not mandatory, having a basic understanding of Excel functions and formulas will be helpful.
Willingness to learn and engage: The course requires a proactive approach to learning and active engagement with the course materials, including watching lectures and completing assignments.


*** You will have full access to the spreadsheets used in the videos ***Welcome to the Private Equity course, where you will master the evaluation of leveraged buyout transactions. I’m Carlos Martínez, a seasoned expert in finance with a Ph.D. in Management from the prestigious University of St. Gallen. I have presented my groundbreaking research on entrepreneurial financing at renowned academic conferences and doctoral colloquiums worldwide, including those held at the University of Tel Aviv, Politecnico di Milano, University of Halmstad, and MIT. Additionally, my work has been published as a chapter in the highly regarded book “New Frontiers in Entrepreneurial Finance Research,” co-edited by established professors in the field.In this comprehensive course, you will gain the indispensable skills and knowledge used by general partners of private equity firms. By mastering the adjusted present value method, you will be able to confidently evaluate leveraged buyout transactions. These sought-after skills are invaluable for ambitious university students and young professionals aspiring to excel in investment banking, corporate finance, or consulting.Through engaging presentations, hands-on tutorials, and practical assessments, this course takes a dynamic and immersive approach. You will delve into real-world case studies, evaluating a private equity transaction from two perspectives: as a corporation considering divestment of one of its divisions, and as a private equity firm assessing the acquisition of such a division.We will begin by providing a solid theoretical foundation on private equity and its investment process. Next, we will dive into a captivating teaching case centered around the leveraged buyout of DuPont’s Coatings Division. Through qualitative analysis, you will gain insights into the various value drivers intrinsic to such transactions, including EBITDA growth, multiple arbitrage, and financial leverage. Furthermore, you will develop and utilize an Excel model to explore different valuation scenarios, giving you hands-on experience and invaluable skills.While leveraged buyouts in private equity are typically covered at the undergraduate level in corporate finance courses, this course is also suitable for graduate-level students, particularly those studying finance for entrepreneurs. It is designed for motivated individuals from diverse academic backgrounds, including business, finance, accounting, law, and other related fields, all with a shared interest in pursuing rewarding careers in investment banking, corporate finance, and financial consulting. This intermediate-level course assumes a basic understanding of free cash flows and the net present value method.Take a closer look at the course description, and I am excited to welcome you on this transformative journey of mastering leveraged buyouts in private equity. Your future in finance awaits!


Section 1: Course Intro

Lecture 1 Welcome to the Private Equity Course!

Lecture 2 Improving Your Learning Experience

Lecture 3 Introduction to Private Equity and Leveraged Buyouts

Section 2: Introduction to Private Equity Funds

Lecture 4 Introduction to the Section

Lecture 5 Legal Structure

Lecture 6 Organizational Structure

Lecture 7 Compensation Mechanisms

Lecture 8 Fundraising

Lecture 9 Investment Analysis

Section 3: Private Equity Investment Process

Lecture 10 Introduction to the Section

Lecture 11 Origination

Lecture 12 Business Plan Review

Lecture 13 Management Team

Lecture 14 Valuation

Lecture 15 Comparable Company Analysis

Lecture 16 Venture Capital Method

Lecture 17 Deal Structuring

Lecture 18 Portfolio Management

Lecture 19 Exit Strategies. Lecture A.

Lecture 20 Exit Strategies. Lecture B.

Section 4: Teaching Case: Leveraged Buyout of DPC

Lecture 21 Introduction to the DPC Teaching Case

Lecture 22 Background: Ellen Kullman (CEO of DuPont)

Lecture 23 Background: DPC A

Lecture 24 Background: DPC B

Lecture 25 Potential Strategic Buyers

Lecture 26 Value Driver: Financial Leverage

Lecture 27 Value Driver: Growth in EBITDA

Lecture 28 Value Driver: Multiple Arbitrage

Lecture 29 Analysis Questions

Lecture 30 Benefits & Risks for Strategic Buyers

Lecture 31 Benefits for Private Equity Firms

Lecture 32 Risks for Private Equity Firms

Section 5: Teaching Case: Quantitative Analysis

Lecture 33 Introduction to the Section

Lecture 34 Base Model (Net Present Value of Unlevered Firm)

Lecture 35 Value Driver: Growth in EBITDA & Multiple Arbitrage

Lecture 36 Theoretical Introduction to the Adjusted Present Value Method (APV)

Lecture 37 Scenario Analysis: Leverage (APV)

Lecture 38 Enterprise Value vs. Expected Return

Lecture 39 Enterprise Value vs. Expected Return (Internal Rate of Return)

Lecture 40 Minimum Acceptable Bid

Lecture 41 Conclusion

University students: Undergraduate and graduate students studying finance, economics, accounting, or related fields who want to deepen their understanding of private equity and gain practical skills in evaluating leveraged buyout transactions.,Young professionals: Individuals who have recently entered the workforce or are early in their careers, with a background in finance, accounting, or related areas, seeking to enhance their knowledge and capabilities in investment banking, corporate finance, or financial consulting.,Finance enthusiasts: Individuals who have a keen interest in finance and want to explore the world of private equity and leveraged buyouts, regardless of their academic or professional background.,Aspiring investment analysts: Individuals aspiring to become investment analysts or work in investment firms, private equity companies, or financial advisory roles, who want to acquire the necessary skills to evaluate and analyze leveraged buyout transactions.,Finance and business professionals: Professionals already working in finance or related fields who are looking to expand their expertise and gain a solid understanding of private equity and the evaluation of leveraged buyout transactions.,Entrepreneurs and business owners: Individuals involved in entrepreneurship or running their own businesses who want to understand the private equity landscape and gain insights into how leveraged buyouts can impact their industries.

Course Information:

Udemy | English | 3h 7m | 3.68 GB
Created by: Carlos Martínez, PhD

You Can See More Courses in the Business >> Greetings from

New Courses

Scroll to Top