This class will introduce students to the business of private equity and the execution of "leveraged buyout" transactions (LBOs) by exploring how private equity funds are formed and then invested. We will focus on the various facets of an LBO, including (i) the primary M&A transaction, (ii) corresponding debt financing(s) and (iii) the composition and governance of equity investors. Legal documentation for LBOs will be introduced and the business and economic rationales underlying LBO structures will be discussed. The course will also present some history of the private equity industry's evolution and highlight the major participants (e.g., private equity funds, law firms, and banking institutions) who routinely play a role in the LBO marketplace. Student evaluations based on attendance, participation, and a take-home exam. The course is open to GSB and other non-law students with permission of the instructors. See Non-Law Student Registration at https://law.stanford.edu/education/courses/non-law-students. Elements used in grading: Attendance, Class Participation, Final Exam.
2 units · Law Honors/Pass/Restrd Cr/Fail
This class will introduce students to the business of private equity and the execution of "leveraged buyout" transactions (LBOs) by exploring how private equity funds are formed and then invested. We will focus on the various facets of an LBO, including (i) the primary M&A transaction, (ii) corresponding debt financing(s) and (iii) the composition and governance of equity investors. Legal documentation for LBOs will be introduced and the business and economic rationales underlying LBO structures will be discussed. The course will also present some history of the private equity industry's evolution and highlight the major participants (e.g., private equity funds, law firms, and banking institutions) who routinely play a role in the LBO marketplace. Student evaluations based on attendance, participation, and a take-home exam. The course is open to GSB and other non-law students with permission of the instructors. See Non-Law Student Registration at https://law.stanford.edu/education/courses/non-law-students. Elements used in grading: Attendance, Class Participation, Final Exam.