Course Purpose
This course develops strategic insight into corporate financial management, emphasizing how firms structure capital, evaluate investments, and align financial choices with long-term value creation and economic stability.
Course Learning Outcomes
By the end of this course, you should able to:
ELO1: Evaluate the role of corporate finance and capital structure in financial decision-making and firm strategy.
ELO2: Analyse capital budgeting techniques, cost of capital calculations, and risk management strategies under certainty and uncertainty.
ELO3: Assess the impact of mergers, acquisitions, dividend policies, and corporate restructuring on firm growth and shareholder value.
ELO4: Examine the principles of Islamic finance, green finance, and risk management techniques in the context of corporate governance and sustainable finance.Course Content
Introduction to Corporate Finance: Concept of corporate finance and goals of the firm, financial management decisions, functions of a finance manager, agency theory;
Capital Structure Decisions: Capital structure concept and importance, sources of capital, capital structure theories, financing proposals evaluation;
Capital Budgeting Decisions and Cost of Capital: Capital budgeting concept and process, capital budgeting techniques, cost of capital and its components, risk analysis and real options in capital budgeting;
Working Capital Management: Working capital concepts and determinants, liquidity measurement and cash conversion cycle, working capital components management including receivables inventory and payables, profitability–liquidity trade-off and working capital strategies;
Mergers, Acquisitions, and Corporate Growth: Motives and forms of corporate restructuring including mergers acquisitions leveraged buyouts and divestitures, valuation techniques in mergers and acquisitions, post-merger evaluation and integration, corporate growth measurement and performance;
Dividend Policy Decisions: Dividend policy concepts and types, dividend theories, factors affecting dividend policy, forms of dividend and payout decisions;
Islamic Finance: Introduction to Islamic finance principles, ethical investing in Islamic finance, Islamic financial products including sukuk musharaka and others, risk sharing and Shariah compliance;
Green and Environmental Finance: Introduction to green finance, carbon trading and emissions markets, environmental financial instruments, trends and global regulations in sustainable finance;
Corporate Risk Management: Concepts and types of corporate risk, risk measurement techniques including VaR and CVaR, risk management techniques and instruments, risk management and corporate governance;
Financial Restructuring and Corporate Strategy: Corporate restructuring concepts and methods, financial distress and turnaround strategies, corporate strategy and value implications, impact of restructuring on share prices.
