AB5101 Business Valuation: From Theory to Practice

This course provides students with the conceptual background, practical skills and knowledge that are necessary to conduct business valuation in the marketplace. The course will link the theory and practical aspects of business valuation and provides the students with the first-hand knowledge of how valuation is carried out in the 'real world'. It will explore the global business valuation landscape, the role that business valuation plays in the financial and corporate world and study the competences, role, and behaviour of business valuers. It will also cover the fundamental concepts and principles of valuation, examine the various terms, definitions and premises of values that are widely used in practice. Additionally, it will provide an insight into the international valuation standards promulgated by the International Valuation Standards Council (IVSC) and in-depth coverage on the valuation process as well as the contents that is expected of a detailed valuation report. A detailed study of the various valuation approaches and methods commonly used to value business and equity for transactions purposes will also be carried out. Finally, the course will also address the challenges encountered by valuers relating to discounts/ premiums and valuation of public listed entities and private companies.

This course allows students to explore and understand the various technical and practical issues involved in the various valuation approaches and methods. After completing the course, students are expected to be familiar with the application of the various valuation approaches and methods, and the pros and cons of adopting such approaches and methods when conducting business valuation in the marketplace for transaction purposes.