Maximising Value Creation 3-4 June 2014

BVCA Professional Development Programme

2 day course, at:

Reed Smith LLP The Broadgate Tower 20 Primrose Street London EC2A 2RS

CPD Accredited 13 learning hours

Course Details

Why you should attend

This course will include approaches to strategy and assessing scope to create value through the following

methods: repositioning, change in business models, organic revenue growth and management change.

During the course, participants will discuss and analyse the strategies of a variety of investments, covering:

Managing value through strategy

Managing change & risk

Frameworks for strategic context of investee companies

Key performance indicators

Assessing management, organisational culture and management change

Strategies and key value creation factors in venture capital

Target Audience

Many industry professionals will benefit from the themes of this course, including:

Portfolio managers

Investment professionals

Board members of investee companies

Consultants

Management

Dress Code

Dress is smart/casual for the duration of the course.

Equipment

Copies of the presentation slides are provided on the day, along with pens and note paper.

You will not need a computer for any course sessions; however you may wish to bring a calculator.

Programme

DAY ONE

8.30 Registration and coffee

9.00 Introduction/Objectives

Heather Lightbody - Course Director

9.20 Approaches to Strategy

Assessing scope to create value through one or more of:

o Rebranding

o Repositioning

o Change in business model

o Organic revenue growth

o Bolt-on acquisitions

o Management change

Case study: Key Performance Indicators

Case study: Contrasting value creation strategies

Heather Lightbody - Course Director

10.45 Approaches to Strategy continued

Philip Dunne, AT Kearney

11.30 Break – Coffee

11.50 Unlocking Value in Deals

o What is value and when is it created

o Who creates it and how

o How to get the best out of pre deal Due Diligence

o Four critical focus areas for success in post deal planning and integration

Alan Dale & Oliver Bridge, Grant Thornton UK LLP

13.00 Break - Lunch

14.00 Exit Positioning

o Timing of exit planning and preparation

o Identification of key drivers to maximise exit value across the value chain

o Deep-dives into example functional areas for identifying value drivers

o EBITDA and cash opportunities in standalone and combination states

o Project identification and prioritisation: Programme Management Office

o Case study and Exercise: Recent PE exit of a Business Services company

Sanjiv Padmanabhan, Deloitte

15.15 Break – Coffee

15.30 Delivering Operational Change

John D’Arcy, Newton Europe

16.30 Value Creation for a Buyout – The Chairman’s Perspective

Patrick Dunne, Chairman of D3O & Leap Confronting Conflict

17.30 Networking Drinks

Programme

DAY TWO

9.00 Case study – Selecting new management to deliver change

Three contrasting examples at three key stages will be discussed: prior to investment;

unplanned change during investment; change as part of an exit plan

Neil Goble & Carol House, Korn Ferry

10.15 Management and Change

Assessing quality of management, particularly its ability to:

o Work together as an effective management team

o Implement new strategies

o Manage change

o Assess and change organisational culture

Heather Lightbody

11.00 Break – Coffee

11.20 Experience Sharing

Each participant will bring with them a mini case study of success or failure at generating

value. These will be shared in teams with each team presenting their analysis of lessons

learned from the examples

Heather Lightbody

13.00 Break - Lunch

14.00 Working with banks and alternative lenders to encourage and allow value creation

o How banks/lenders could be used to fund bolt-on acquisitions/capex

o How to avoid having a bank tie a borrower in knots with restrictive covenants

o How to structure financial covenants to permit investment and ebitda-enhancing

activities

o How alternative lenders might be able to provide a more conducive environment

for companies to invest and grow

Ben Davis, Reed Smith

15.00 Break – Coffee

15.20 Case Study of Value Creation for a Buyout

This case study will bring together all the elements of the programme. Participants will

work in teams to prepare a presentation of their analysis of the key issues and what

action they would take. Groups will present their analyses and key learning points

Andy Hampshire, LDC

17.00 Course Closes

The course director

Heather Lightbody

Heather worked with Esso Petroleum for five years as Financial and Credit Analyst and Internal

Auditor and the Wallace Smith Trust Group for five years carrying out M&A advisory work. She

then worked for Yamaichi International (Europe) for seven years, managing M&A strategic and

valuation analysis, developing a business strategy and opportunities in Eastern Europe, and

working on equity new issues, where she was appointed Executive Director in 1994. Heather

joined DC Gardner Training in 1998 and was Managing Director from 1999 to 2004. In 2004

Heather returned to training, delivering courses on private equity, company valuation,

acquisitions and management. Heather has a BSc in Economics from Bristol University and an

MBA from London Business School.

The speakers

Alan Dale, Grant Thornton

Alan leads the Operational Deal Services team at Grant Thornton and exclusively focuses on

supporting clients around deals in operations due diligence, 100 day planning, integrations and

separations. He has been a deal specialist for 11 years and is based in London but operates

globally.

Alan also has deep operational and industry experience through working for Rolls-Royce plc for 12

years where he ran a business unit, led global change programmes and led a range of functions

including; manufacturing, procurement, sales and IT.

Patrick Dunne, D30

Patrick has extensive experience of working with boards in Europe, Asia and North America. His

executive experience includes 26 years in a variety of roles with 3i Group plc where, until 2012, he

was Communications Director, a member of its Operating committee and Chairman of its

Operational Risk forum. 3i has £7bn of Assets under management.

He is a member of the advisory board of The Entrepreneurs Fund, a €200m venture fund, and

Chairman of TEF portfolio company D3O, a smart materials business.

From 1990 to 1997 he built a resource of over 600 experienced directors who were appointed to

over 2,000 boards for 3i in 14 countries across Europe, Asia and North America. The programme

he established became widely recognised as a model of adding value and a leader in best practice.

Phil Dunne, A.T. Kearney

Phil has over 25 years of industry and consulting experience. He has been a Partner with A.T.

Kearney since 2003. He is the UK’s Managing Partner and heads up the EMEA M&A Practice. He

and his team provide a full range of transaction support including target identification,

commercial and operational due diligence, merger planning and integration, and post acquisition

synergy capture for both private equity and industrial clients. He has extensive international

experience working with clients in India, China, and North America as well as in Europe.

An engineer by training, Phil began his career in 1983 as a graduate engineer designing ground-to-

air missiles with British Aerospace. He then spent five years working in France for Michelin in

design and manufacturing roles. This was followed by a brief and unsuccessful career as a

professional rugby player, prior to returning to the UK to attend business school, and joining A.T.

Kearney in 1995.

Phil has a first degree in Mechanical Engineering from Birmingham University and an MBA from

Cranfield School of Management.

Outside work, three young children tend to monopolise any available spare time. What little is

left is generally spent playing or watching sport, although the balance between the two is shifting

alarmingly with age!

Neil Goble, Korn/Ferry

Neil Goble is a Senior Client Partner in Korn/Ferry Whitehead Mann’s London office and member

of the Firm’s Private Equity Practice.

Neil has extensive experience, having spent the majority of his career in search. He specializes in

senior appointments for private equity firms and board appointments for private equity owned

companies. He has broad experience of working with the mid-large PE investment firms, and has

conducted searches across Europe, the US, the Middle East and Asia.

Neil’s experience includes conducting key leadership appointments for major private equity funds,

Executive and Non-Executive appointments for FTSE100 companies, as well as Chairman and CEO

roles for PE-backed businesses and debt controlled companies. He also has extensive experience

of conducting executive assessments. Neil has a Master of Arts degree from University College,

Oxford.

Andy Hampshire, LDC

Andy Hampshire joined LDC from the Wholesale Division of Lloyds Banking Group where he spent

six years leading numerous change and technology programmes. Prior to joining Lloyds TSB Andy

worked in the music industry focusing on the technology side of the business as well as

independently developing mobile applications which were sold globally. He is a member of the

Value Enhancement Group and supports management teams of portfolio businesses driving

initiatives that generate growth through cash generation, revenue growth and cost saving. In

particular he looks for opportunities to support growth within businesses that can be driven

through technology.

Carol House, Korn/Ferry

Carol is a Senior Client Partner in Korn/Ferry Whitehead Mann’s London office, focusing on the

Firm’s Private Equity Sector.

Carol has a wealth of experience in delivering due diligence and assessment to clients, both in the

private equity and the corporate communities. She is qualified to administer and feedback on a

number of psychometric tools and is experienced at gathering and delivering 360º feedback as

part of leadership development initiatives.

Carol’s earlier career was spent in the property development industry before moving into the

recruitment world in 1989. Ms. House has a Master of Arts degree in history from the University

of St. Andrews.

Sanjiv Padmanabhan, Deloitte

Sanjiv is a Director at Deloitte in the Corporate Finance team and has over 14 years of advisory

experience, including at Arthur Andersen and Bain.

Sanjiv’s area of focus is on performance improvement and cost reduction review. During the last

six years at Deloitte, Sanjiv has worked on over 40 mergers, carve-outs and identifying operational

improvement opportunities.

Over the last few years Sanjiv has been focusing on helping his PE clients in developing value

creation plans for their portfolio companies in preparation for exit. He recently helped a 3i

portfolio company over a course of a one year engagement in identifying and implementing

various operational improvements. This culminated in a successful sale of the company.

Sanjiv is originally from India and moved to the UK in 2003. He has completed a full-time MBA

from London Business School specialising in strategy and Finance and has an undergraduate

degree in electronics engineering.