Private Equity Initiative

Private Equity Initiative - Courses - Core Electives

Core Electives

Darden offers a broad array of courses designed to help students prepare for a career in or adjacent to private equity space. During the first year, students engage with the core curriculum and learn the fundamentals of business through rich case study discussions. After completing the core curriculum, students have the opportunity to take core electives, experiential learning courses, and other related courses in PE.

CORE ELECTIVE COURSES

  • PRIVATE EQUITY

     Faculty

    elena

    		 Elena Loutskina, Professor of Business Administration, Peter M. Grant II Bicentennial Foundation Chair in Business Administration and Academic Director of Richard A. Mayo Center for Asset Management

    Course Description

    This course explores a comprehensive set of financial situations that arise with the financing of private enterprises from startups to mature companies. The course begins with a brief module on limited partnerships to provide students with the necessary understanding of the practices and metrics of PE funds and their return expectations. From there the course examines the investment strategy, valuation, and opportunities of early stage (venture capital), middle market (growth equity, mezzanine financing), and late stage enterprises (buyouts). By design the course covers a range of enterprises to match the investment interests of PE investors. Each class helps students develop analytical tools and methods that can be used to reach better decisions about funding needs, valuation, return prospects, contract structuring and incentives to prepare for future professional roles in this industry.

    What Students Say

    kathleen

    "Darden’s PE course is legendary, and an absolute must take in our second year! The course highlights the intricacies of private markets and does an amazing job to introduce students to the core concepts and technical skills of PE finance. It was easily one of my favorite courses during my Darden experience and helped to grow my passion for this space."

    Kathleen Altice
    MBA Class of 2024

     

    "This course gave me a strong foundation for a career in private markets. The cases covered helped me understand a variety of situations that arise in private equity transactions, both conceptually and technically. I especially enjoyed the cases that led to discussions about the GP-LP relationship dynamics, the value of the platform, and the fund of funds model."

    Christie Carpenter
    MBA Class of 2024

    christie

     

    aanshi

    "The PE course was an eye-opening experience that exceeded all my expectations. Before taking this class, I had heard PE terms tossed around in financial discussions and seen them mentioned in articles like the Wall Street Journal. However, I never truly grasped the nuances of GP and LP roles or what went on behind the scenes. The professor and the course material provided invaluable insights, demystifying these concepts and giving me a comprehensive understanding of the dynamics between LP and GP relationships."

    Aanshi Jain
    MBA Class of 2024

     

     "The PE course was a great theoretical and technical introduction to the PE space. It is a “must take” for anyone interested in that ecosystem. The professor held us to a high standard of excellence, which ultimately brings out the best in students; my classmates and I were engaged, well-prepared, and eager to answer the call. Getting regular “reps” on financial modeling was also a huge value-add."

    Reid Spagna
    MBA Class of 2024

    reid

     

    joe

    "I can say with utmost confidence that this is one of the most insightful courses I took while at Darden. Prior to Darden, I had limited exposure to the intricacies of the private markets. Not only did the course deepen my passion for private investing, but it also bolstered my confidence in navigating the complexities of various strategies, funding requirements, contractual terms, and incentives commonly associated with private market investments."

    Joe Vance
    MBA Class of 2024
  • ENTREPRENEURSHIP THROUGH ACQUISITION

    Faculty

    les

    Les Alexander, John Glynn Endowed Professor and Professor of Practice in Business Administration

    Course Description

    Entrepreneurship Through Acquisition (ETA) is a growing career path for EMBA graduates and experienced individuals looking to become CEO of their own company by purchasing an existing business using third-party capital. This course provides students with an introduction to the process of searching for a company, valuing a small business, structuring a deal, negotiating with a seller, completing due diligence, obtaining debt and equity financing, and closing the transaction to become the CEO of their own business. We will review the differences between a funded and a self-funded search, practice how to assess positive characteristics and risks of a company and learn how to utilize various forms of financing to purchase a small business. Through case and other readings, classroom discussions, and conversations with guest speakers who are current or former searchers, or are professionals engaged in the industry, students will explore the many aspects of searching for and acquiring a company. The assigned homework and final project will allow students to experience preparing many of the documents necessary to conduct a search and complete the purchase of a business.

    Course Objectives

    • Articulate what a search fund is and the entrepreneurship through acquisition model.
    • Understand the differences between a funded search and a self-funded search.
    • Explain the steps in the process for acquiring a small private business.
    • Practice developing an investment thesis and search criteria used to evaluate target opportunities and communicate with investors and brokers.
    • Appreciate what makes an attractive acquisition opportunity and what does not.
    • Comprehend the importance of conducting due diligence and identifying risk.
    • Gain insight into deal structuring including the differences between an asset and a stock purchase.
    • Learn about valuing a small private business and how to develop an acquisition model.
    • Explore how to structure the purchase of a small business using SBA debt, bank debt, seller debt, preferred equity, common equity, and rollover equity.
    • Develop a presentation for potential equity investors to be used to raise capital for an acquisition.
  • ACQUISITION OF CLOSELY HELD ENTERPRISES

    Faculty

    hunter Hunter Reichert, Adjunct Lecturer

    Course Description

    This course focuses on the process of acquisition of a business entity. Students will be shown the tools they need and the process to follow to successfully acquire a business of their own. Among the major topics covered will be the search process, assessing and valuing the business, financing consideration, negotiating, and closing the deal. The course may be of interest to MBA students who are interested in leveraged buyouts, investment banking, venture capital and other related careers.

    Course Objectives

    • Guide students through the process that leads to successful acquisition of a business
    • Provide students with the skills and information they need to search, value, and acquire their own business
  • APPLIED SECURITY ANALYSIS

    Faculty

    joe Joe Andrasko, Professor of Practice

    Course Description

    Applied Security Analysis is offered in collaboration with the Richard A. Mayo Center for Asset Management. This course seeks to improve the investment decision process through the application of investment frameworks and fundamental analysis. Classes will typically feature “live cases” for which students use real-time data and public filings to make investment decisions. Class discussions will often be co-moderated by guest practitioners who oversee capital allocation decisions for hedge funds, private equity partnerships, or corporations.

  • TACTICAL TOPICS FOR ENTREPRENEURSHIP THROUGH ACQUISITION

    Faculty

    randy Randolph (Randy) Seibert, Adjunct Lecturer

    Course Description

    This course provides students with exposure to practical matters faced by operators of smaller enterprises. Whether starting or acquiring a small enterprise, entrepreneurs will be better prepared having been introduced to real-world topics such as relationships with key service vendors (banking, legal, accounting), commercial leasing terms, employee benefit programs, state and local public policy, government procurement, commercial insurance, commercial security interests, credit policies, and financial and operational control systems– from the vantage of the smaller enterprise where choices are often limited as compared to the options available to larger enterprises.