giddy.org - resources in finance


Carnegie Bosch
Institute

Issues in Corporate Finance

  • Financing with Debt and Equity
  • Managing Financial Risks
  • Corporate Financial Restructuring
Instructor
Ian Giddy has taught finance at NYU, Columbia, Wharton, Chicago and in 30+ countries abroad for the past two decades. He was Director of International Fixed Income Research at Drexel Burnham Lambert from 1986 to 1989. The author of more than fifty articles on international finance, he has served at the International Monetary Fund and the U.S. Treasury and has been a consultant with numerous corporations and financial institutions in the U.S. and abroad. As a banker and consultant he has been involved in the application of applied corporate finance in the USA, Europe and Asia. He is the author or co-author of The International Money Market, The Handbook of International Finance, Cases in International Finance, Global Financial Markets, Asset Securitization in Asia and The Hudson River Watertrail Guide.

Related websites:
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Applied Finance for Engineers in Global Corporations
A Carnegie Bosch Course

Prof. Ian Giddy
New York University


How does my company raise money to invest? How do the debt and equity markets work? How do companies manage currencies and other financial risks? Why do they undertake financial restructuring, and what effect does it have?

Day 1:   Raising Capital -- Debt and Equity

Day 2:   Financial Risk Management and Financial Restructuring

 Day 3:   Financial Restructuring and Mergers & Acquisitions


The Course Textbook:

  • Finance for Executives by Hawawini and Viallet (Southwestern)
Pre-Course Readings: Background Study: Course Readings:
 

Day 1: Raising Capital

    Case Study: Sealed Air's Financing
    Assignment: How should Sealed Air have financed the Cryovac Acquisition? What did they actually do? What was the effect on the company?
    Finance for Executives: Ch 9
    Article: Bonds
    Handout: Debt

    Case Study: Deutsche Telekom
    Assignment: Read the questions. What would be the right form of pricing and distribution for such a company?
    Finance for Executives: Ch 9 (continued)
    Article: Equities
    Handout: Equity

Day 2: Financial Risk Management
Case Study: Photronics
Assignment: This global manufacturer of photomasks is seeking funds for expansion of its production facilities in Asia and Europe. One recommendation is that the funding be obtained through a debt issue. Does this make sense, given the company's stage in its corporate life cycle and its capacity for further leverage? What currency would best suit the company?  Finance for Executives: Ch 13
Article: Giddy and Dufey, " The Management of Foreign Exchange Risk"Risk
Handout:

Days 2 and 3: Corporate Financial Restructuring and Mergers and Acquisitions

Case Study: Visteon
Assignment: What kind of restructuring would create corporate value at Visteon?
Case Study: Monster Garage
Assignment: What financing structure makes most sense for Monster Garage?
Finance for Executives: Ch 11
Article: Introduction to Restructuring
Handout: Restructuring

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