Oxford Chicago Global Private Equity Challenge. Info Session October 17, 2017

Transcription

1 Oxford Chicago Global Private Equity Challenge Info Session October 17, 2017

2 A Global Competition Chicago Booth team won the 2016 Ox-Chi Challenge! Ed White, Mike Vander Roest, Mike Eisinger, Chris McGowan (Coach), Andrew Alexander, Bradley Powell (from left to right) 2

3 A Global Competition Chicago Booth team won the 2017 Ox-Chi Challenge! Michael MacKay, Kyle Veatch, Chris McGowan (Coach), Nick Alexos (Judge), Jamie Cavanaugh, Taylor Wood, Charlie Griffin (from left to right) 3

4 A Global Competition Video: Year 1 Finals at Oxford

5 Challenge Overview What: A global case competition between Chicago Booth and Oxford Said. Students assess potential for an LBO of a publicly-listed company. When: Three Rounds Interview Round: Friday, November 17, 2017 (1-5pm) At least 4 of 5 team members must be present (no dialing-in) Semifinals (Booth championship): Thursday, November 30, 2017 (2-5pm) (Open to Booth community to watch) Finals (vs. Oxford): March 3-6, 2018 (in Oxford) Who: FT and E/W Booth Students Team Composition: Exactly five students team must include at least one member w/o prior F/T PE experience Deadline to Apply: 12pm on Monday, November 6,

6 Application Components Team Member Resumes (in single PDF) Investment Committee Presentation (PDF) Financial / Valuation Model (printable excel and PDF) 6

7 General Application Guidelines Teams may use any widely-available resources (e.g. company data and equity research reports) to develop case. In analysis, teams should ignore the company s share price and focus instead on how the company would be valued in an LBO context. Presentation not to exceed 25 slides 7

8 Investment Committee Presentation Executive summary (investment rationale/key conclusions) Investment Thesis (key merits/risks) Company description (location, history, etc.) Market overview (growth drivers, value chain, customers, suppliers, key players, etc.) Business overview (business model, competition, etc.) Historic financial analysis Business plan/growth drivers Strategy for growth and value creation opportunities; 100 day plan Forecast financials (including key assumptions) Debt/capital structure (including credit stats) Valuation/multiples (comparables, LBO analysis, etc.) Exit options and target buyers Returns (money multiple and IRR, sensitivities to business plan, breakdown of IRR drivers amongst EBITDA growth, debt pay down, change in purchase multiple) Key areas to diligence Environmental, social, and governance (ESG) issues SWOT analysis 8

9 Financial & Valuation Model Operational assumptions Operational model and forecasts Valuation Returns (money multiple and IRR, sensitivities to the business plan, breakdown of IRR drivers amongst EBITDA growth, debt pay down, and change in purchase multiple) 9

10 Road to the Semifinals Case options posted 10/18 at 5pm Prepare case from 10/18 to 11/6 Submit case on 11/6 by 12pm Interview candidates announced by 5pm on 11/15 If selected, interview with panel on 11/17 between 1-5pm Semifinalists announced on 11/20 Semifinals (Booth championship) on 11/30 from 2-5 pm 10

11 Finals (vs. Oxford) When: March 3-6, 2018 Who: Booth championship team (winner of semifinals) prepares new case to compete against Oxford A three-day private equity program Finals competition against Oxford team Private equity finance seminar and case study by Oxford faculty Oxford Private Equity Forum on March 5 th Private equity treks in London Networking opportunities with faculty, students, PE professionals 11

12 Rewards from Participation Opportunity for team of five, within compact timeframe, to perform a PE evaluation on an investment target All teams can schedule feedback session with Chris McGowan Six teams that advance to interview round will present to panel of PE investors and receive additional feedback Three teams that advance to semifinals will present (in public) to a second panel of PE investors and receive further feedback Winning team will prepare a new case, receive extensive coaching from Chris McGowan, and receive travel to and lodging at Oxford Team that wins finals competition in Oxford receives $5000 cash prize 12

13 Program Contacts Erika Mercer Director of Private Equity and Entrepreneurship Programs chicagobooth.edu Chris McGowan Adjunct Professor, Entrepreneur-in- Residence, Faculty Advisor Cerise Miller Senior Program Manager booth.edu 13

14 Go Online! 14