1. © Vlerick Business School #experiencevlerick1

2. FINANCE IN THE NEWS

3. © Vlerick Business School
STOCK MARKET EVOLUTION (S&P 500)
#experiencevlerick3

4. © Vlerick Business School
STOCK MARKET EVOLUTION (EUROSTOXX 50)
#experiencevlerick4

5. © Vlerick Business School
UNREST IN MIDDLE EAST
#experiencevlerick5
Stock market reaction
January-February 2011

6. © Vlerick Business School
IMPACT EARTHQUAKE JAPAN
#experiencevlerick6
Hurricane Katarina (S&P 500), 2005
Tsunami (Sri Lanka All Share), 2004
Pearl Harbour (DJI), 1941
Earthquake Kobe (Nikkey 225), 1995
September 11 2001 (S&P 500)
Recent earthquake
(Nikkey 225), 2011

7. © Vlerick Business School
EUROPEAN PUBLIC DEBT LEVELS
Public debt 2012 (%GDP)
EU (27 ) 85.3
Belgium 99.6
Germany 81.9
Ireland 117.6
Greece 156.9
Spain 84.2
France 90.2
Italy 127.0
Luxembourg 20.8
Netherlands 71.2
Austria 73.4
Poland 55.6
Portugal 123.6
United Kingdom 90.0
#experiencevlerick7

8. © Vlerick Business School #experiencevlerick8

9. © Vlerick Business School
BELGIAN GOVERNMENT BONDS 10Y
#experiencevlerick9

10. © Vlerick Business School #experiencevlerick10

11. © Vlerick Business School #experiencevlerick11

12. © Vlerick Business School
CONFIDENCE LEVELS REMAIN LOW
#experiencevlerick12

13. © Vlerick Business School #experiencevlerick13

14. © Vlerick Business School
RAISING EQUITY: IPOS
 Fashion:
 Samsonite (Hong Kong): $1.25 bio
 Prada (Hong Kong): $2.14 bio
 Internet/Social media:
 Linkedin (NYSE): $405 mio
 Groupon (Nasdaq): $700 mio
 Facebook (Nasdaq): $16 bio
 Zynga – Farm Ville (Nasdaq): $1 bio
 Workday (NYSE): $637 mio
 Bankia (Madrid): € 3.1 bio
 Japan Airlines (Tokyo): € 6.3 bio
 Evonik (Frankfurt): € 2 bio
 Seaworld (NYSE): $700 mio
14 #experiencevlerick

15. © Vlerick Business School #experiencevlerick15

16. © Vlerick Business School
FACEBOOK IPO
 Amount raised: $ 16 bio ($38 x 421 mio)
 Total Valuation: $104 bio
 Dual-class shares
 Zuckerberg has 18% ownership but 57% of voting
rights
 At market value of $104 bio:
 900 mio users  $115/user
 Revenues: $ 4.04 bio  P/S= 26
 Profit: $ 720 mio  P/E= 144
#experiencevlerick16

17. © Vlerick Business School
FACEBOOK IPO
#experiencevlerick17

18. © Vlerick Business School #experiencevlerick18

19. © Vlerick Business School #experiencevlerick19

20. © Vlerick Business School #experiencevlerick20

21. © Vlerick Business School #experiencevlerick21

22. © Vlerick Business School
B-POST FIRST IPO IN BRUSSELS IN MORE
THAN THREE YEARS
#experiencevlerick22
 Exit of CVC (25%-30% shares)
 CVC will keep 15%
 Belgian government: 50% + 1 share
 Value estimted around €3 bio
 Syndicate of banks responsible for IPO:
JP Morgan, Nomura, BNP Paribas Fortis, Morgan
Stanley, UBS, KBC, ING, Belfius and Royal Bank of
Canada
 High dividend yield (6-8%)
 26000 FTE
 10.5 letters a day

23. © Vlerick Business School
TOP IPOS IN BRUSSELS AND THEIR
PERFORMANCE
#experiencevlerick23
Source: De Tijd

24. © Vlerick Business School
HOLLYWOOD DISCOVERS CROWDFUNDING
#experiencevlerick24
CANNES, France--The Cannes Film
Festival can sometimes make room for
someone a little different. Someone,
say, like Jeremy Saulnier, a little-
known director who, at 36, has used a
little pluck and plenty of Kickstarter to
defy the stereotypes of the world's
most prestigious (and expensive)
festival.
Thanks to the democratizing advantages of crowdfunding, Saulnier is showing an alternative
path to the normally elite precincts of the Cannes Film Festival. Saulnier’s film "Blue Ruin"
isn't like most here, which are financed lavishly by foreign distributors, Hollywood studios or
government film funds.
Saulnier and his wife liquidated their retirement accounts, refinanced their home and ran up
well over a $100,000 in credit-card debt to make the movie. But the real key came when,
needing tens of thousands of dollars to trigger cast and crew deals, Saulnier put his project
on Kickstarter. He raised the necessary $35,000 in a matter of weeks.

25. © Vlerick Business School
RAISING DEBT: RECENT BOND ISSUES
 IBM (AA-): July 2012
 $1 bio (1.875% - 10 years)
 Walt Disney (A): February, 2012
 $1 bio (1.25% - 3 years)
 $0.4 bio (2.55% - 10 years)
 Dr Pepper (BBB): $500 mio (2.7% - 10 years)
 MGM Resorts International (B-): March, 2012
 $1 bio (7.75% - 10 years)
 Very succesful recent issues by Belgian companies
(Roularta, ETEX, AB Inbev, Kinepolis, CFE, Arseus,
Omega Pharma, Fluxis, DEME, Vandemoortele, Eandis,
DEME, Delhaize,…)
#experiencevlerick25

26. © Vlerick Business School #experiencevlerick26

27. © Vlerick Business School #experiencevlerick27

28. © Vlerick Business School
!
#experiencevlerick28

29. © Vlerick Business School #experiencevlerick29

30. © Vlerick Business School
Largest company ever according to market cap!
30 |
Jump of $ 50 bio!!
#experiencevlerick30

31. © Vlerick Business School
CASH GIANTS S&P500 STOXX600
#experiencevlerick31
Source: De Tijd

32. © Vlerick Business School
EVOLUTION INTEREST RATES
#experiencevlerick32

33. #experiencevlerick33

34. © Vlerick Business School
EVOLUTION INFLATION
“Inflation is when you pay fifteen dollars for the ten-dollar
haircut you used to get for five dollars when you had hair. “
Sam Ewing
#experiencevlerick34

35. © Vlerick Business School #experiencevlerick35

36. RECENT TRANSACTIONS
 Universal - EMI ($1.9 bio)
 Berkshire Hathaway/3G – Heinz ($23 bio)
 AB Inbev – Modelo ($20.1 bio)
 UPS - TNT Express ($7 bio)
 Dell buyout ($24.4 bio)
 Liberty Global – Virgin Media ($16 bio)
 American Airlines – US Airways (stock swap-
combined market cap of $10 bio)
 Yahoo - Tumblr
#experiencevlerick36

37. © Vlerick Business School37 #experiencevlerick

38. © Vlerick Business School38
€ 9.5
Source: Bloomberg
#experiencevlerick

39. © Vlerick Business School
DELL BUYOUT
#experiencevlerick39
24.4 bio USD (13.65 per share)
 Michael Dell: 15% + 700 mio USD
 Silver Lake: 1 bio USD
 Microsoft: 2 bio USD subordinated loan
 Syndicated bank loan: 15 bio USD
Rival offer Carl Icahn and
Southeastern Asset Management!

40. © Vlerick Business School
MEDIAN WEALTH PER HOUSEHOLD
#experiencevlerick40
Source: De Tijd

41. © Vlerick Business School
HOW LONG TO BE A MILLIONAIRE?
#experiencevlerick41

42. © Vlerick Business School
EU AGREES TO LIMIT BANKER BONUSES
#experiencevlerick42
File - In this Sept. 7, 2010 file
photo, members of Oxfam are
dressed as bankers during a
demonstration outside of a
meeting of EU finance
ministers at the EU Council
building in Brussels. Top
European Union officials late
Wednesday, Feb. 27, 2013
struck an agreement on a
package of financial laws that
includes capping bankers'
bonus payments at a
maximum of one year's
base salary. The bonuses will
only be allowed to reach twice
the annual fixed salary if a
large majority of a bank's
shareholders agrees. (AP
Photo/Virginia Mayo,
File)(Credit: AP)
www.salon.com

43. © Vlerick Business School
Do you see the link?
43 | #experiencevlerick43

44. © Vlerick Business School #experiencevlerick44
http://business.time.com

45. © Vlerick Business School
WHO MASTERS THE FIELD OF FINANCE?
FORBES: World’s Billionaires
45 #experiencevlerick
Rank Name Citizenship
Net Worth
($bil)
1 Carlos Slim Helu Mexico 73
2 William Gates III United States 67
3 Amancio Ortega Spain 57
4 Warren Buffett United States 53.5
5 Lawrence Ellison United States 43
6 Charles Koch United States 34
7 David Koch United States 34
8 Li Ka-shing Hong Kong 31
9 Liliane Bettencourt France 30
10 Bernard Arnault France 29

46. © Vlerick Business School #experiencevlerick46

47. © Vlerick Business School #experiencevlerick47

48. © Vlerick Business School
FEEL LIKE SOME MORE?
 Executive Master Class Corporate Finance (Fall
2013)
 Executive Master Class Controllership (spring
2014)
 Financial Management for Non-Financial
Managers (September 2013)
#experiencevlerick48

49. #experiencevlerick49