Mergers & Acquisitions Financial Modelling Training Course

Course Overview

Learning Objectives

• Analyze the financial structure and key components of mergers and acquisitions transactions during the first day of the course.
• Develop a structured acquisition financial model incorporating transaction assumptions, purchase consideration, sources and uses, and financing requirements by the end of the program.
• Apply financial modelling techniques to forecast the standalone performance of both acquiring and target companies using realistic operating assumptions.
• Evaluate valuation methodologies, transaction multiples, purchase price assumptions, and their implications for acquisition economics.
• Design an integrated pro forma financial model that combines the financial positions and operating results of the acquiring and target companies.
• Assess potential revenue and cost synergies and evaluate their impact on profitability, cash flow, valuation, and transaction returns.
• Evaluate alternative financing structures and determine their potential effects on leverage, interest expense, liquidity, and post-transaction financial performance.
• Apply sensitivity and scenario analysis to test the impact of purchase price, financing, synergies, operating performance, and integration assumptions.
• Assess transaction risks, model weaknesses, financial adjustments, and key assumptions that may affect the attractiveness of an acquisition.
• Prepare and present a complete mergers and acquisitions financial model and transaction analysis that supports informed management and investment decisions during the final workshop.

Who Should Attend

Learning Outcomes

• Explain the financial mechanics and key modelling components of mergers and acquisitions transactions.
• Build an acquisition financial model incorporating transaction assumptions, purchase price, sources and uses, financing, and equity requirements.
• Analyze the historical financial performance of acquiring and target companies and translate findings into realistic forecasting assumptions.
• Develop standalone financial projections for the acquiring and target companies covering revenue, costs, profitability, cash flow, and balance sheet performance.
• Construct pro forma financial statements that demonstrate the potential financial impact of an acquisition.
• Evaluate purchase price assumptions, valuation multiples, transaction costs, financing structures, and their effects on acquisition economics.
• Quantify potential revenue and cost synergies and assess their impact on earnings, cash flow, and shareholder value.
• Analyze the impact of acquisition financing on leverage, interest costs, liquidity, and post-transaction financial performance.
• Perform sensitivity and scenario analysis to evaluate transaction outcomes under different operating, financing, valuation, and synergy assumptions.
• Prepare and present a professional acquisition financial model that communicates transaction value, financial risks, opportunities, sensitivities, and recommendations to decision makers.

Course Outline