Dr. Jane Luo
Email: jane.luo@adelaide.edu.au

On successful completion of this course, students will be able to:

1. Conduct valuations based on the discounted cash flow method.
2. Perform a relative valuation for a company.
3. Utilise the techniques in valuing mergers and acquisitions.
4. Apply the methodologies in valuing firms in financial distress and equity investment in other firms.
5. Critically analyse publicly available information and write a business valuation report.

Text Book(s) not compulsory

Damodaran, 2006, "Damodaran on Valuation" 2nd ed, John Wiley & Sons ; Damodaran, 2012. "Investment Valuation: Tools and Techniques for Determining the Value of Any Assets" 3rd ed, John Wiley & Sons. (available online/physical copy in library)

Lecture notes will follow chapters 1-9 and 12 from Damodaran's textbook plus a few additional topics.

The course is taught via seminar-based classes, reinforced through class participation in problem-solving.

The information below is provided as a guide to assist students in engaging appropriately with the course requirements.

The information below is provided as a guide to assist students in engaging appropriately with the course requirements.
The University expects full-time students (i.e. those taking 12 units per semester) to devote a total of 48 hours per week (over 12 weeks) to their studies. This means that you are expected to commit approximately 108 hours (9 hours x 12 week) for a three-unit course of private study outside of your seminars. Students are expected to attend all seminars.

Topics
1. An introduction to valuation & financial maths
2. Relationship between earnings and capital: Understanding financial reports
3. Market based valuation: Price Multiples
4. Free cash flow models
5. Fundamental analysis and forecasting
6. Estimating the discount rate
7. Takeovers
8. Financial distress and cross shareholding
9. Technical trading and other aspects of valuation 

Assessment Task                Due                            Weighting                 Learning Outcome
Mid-Semester Test                 TBC                               15%                            1
Assignment                           TBC                               25%                            5
Final Exam                          During exam period           60%                        1,2,3,4
Total                                                                          100%

Notes on Assessment
1. To gain a pass for this course, a total of at least 50% overall is required. Neither the test nor the assignment is redeemable.
2. Legible hand-writing and the quality of English expression are considered to be integral parts of the assessment process. Marks may be deducted in the final examination if markers cannot understand answers due to poor hand-writing.
3. Assessment marks prior to the final exam will be displayed on the course website. Students are encouraged to check their marks and notify the Lecturer-in-Charge of any discrepancies.

Test: 15 %
Details: Further information regarding the test will be provided during the semester.

Assignment: 25%
Details: The assignment is compulsory and will be made available on the 'myuni' website. The assignment is non-redeemable.

Final Exam: 60%
More details will be provided closer to the date.

SUBMISSION
Assignments
Assignments are compulsory and will be posted on the ‘MyUni’ website.
The assignment must be submitted electronically, by the group leader. Further details regarding the assignment will be provided during the semester.

PRESENTATION OF ASSIGNMENTS
• Please retain a copy of all assignments submitted.
• The group assignments must be attached to a ‘Group Assignment Cover Sheet’, which must be signed and dated by all group members before submission. All team members are expected to contribute approximately equally to a group assignment.


Lecturers can refuse to accept assignments that do not have a signed acknowledgement of the University’s policy on plagiarism.

ASSIGNMENT GUIDELINES INCLUDING REFERENCING DETAILS
A copy of the Postgraduate Programs: Communication Skills Guide will have been given to you at the beginning of your program. This guide will assist you to structure your assignments. A copy of the guide can also be downloaded from http://www.business.adelaide.edu.au/current/mba/download/2009MBACommSkillsGuide.pdf

This publication also provides guidelines on a range of other important communication skills including writing essays and management reports, making oral presentations, etc.
In preparing any written piece of assessment for your postgraduate studies it is important to draw on the relevant ‘literature’ to support critical analysis. Also essential is to reference the literature used. Correct referencing is important because it identifies the source of the ideas and arguments that you present, and sometimes the source of the actual words you use, and helps to avoid the problem of plagiarism. (Further information on plagiarism is provided later in this course outline.)
The Harvard system is widely used in the Business School. Guidelines for the use of this style of referencing can be found in the Communication Skills Guide.

Further assistance with referencing is available from the Faculty’s Learning Support Advisors. The contact details are provided on page 6 of the Communication Skills Guide.

LATE ASSIGNMENT SUBMISSION
Students are expected to submit their work by the due date to maintain a fair and equitable system. Extensions will generally only be given for medical or other serious reasons. All requests for extensions must be emailed to the lecturer in charge of the course before the due date. Each request will be assessed on its merits. A late assignment (without prior arrangement) will be penalised by a 20% mark reduction for each day that it is late. Assignments are non-redeemable.

RETURN OF ASSIGNMENTS
Lecturers aim to mark and publish the assignment score to students within two weeks of the due date with written feedback. Students are responsible for viewing their assignment scores on the "myuni" website.