Transcript PreSRV Medical Ltd - Ross School of Business

Finance Club
Chicago Primer
Ross School of Business
University of Michigan
November 03, 2005
Introduction

The Finance Club is excited to launch the inaugural Chicago forum

Strong venue – more companies than anticipated and a tighter
schedule than desired; however we will do our best to fascilitate the
porcess
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Many of the offices that we are visiting have never hosted Michigan
students before – please consider yourselves to be ambassadors of
Michigan to build this relationship

Learn about the companies, learn about the market, ask good
questions…it’s about fit

Outstanding job by the CHI Forum Team:
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Madhavi Reddy: (513) 310-2491
Anna Schneider: (312) 545-4172
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Jeff Llamas: (773) 860-0671
Julius Peter: (248) 497-9051
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Logistics

Entire forum is full business

Bring a valid ID – State ID, Drivers License, Passport are the “safe”
three ID’s that are surely accepted

Schedule is available online on Club webpage – please print out and
review thoroughly

Participants are on their own for getting to the Thursday night
Deutsche Bank reception. On Friday, we will begin the day from the
Holiday Inn Hotel

We will be walking to companies together. In the event that a cab needs
to be arranged, the CHI Forum leaders will do so

If you are arriving to a venue by yourself, get there no later than 15
mins prior to the event beginning. Wait for the group to arrive if we are
not there already

No cell phones during the presentations

Ask good questions

Contact one of the CHI forum leaders if you have questions
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S&T/PWM/Asset Mgmt
Below are some considerations/questions:
 Office sizes vary a lot
 The market does not have the syndication leverage of NY, how can this be
an advantage or disadvantage?
 What is client base like?
 Culturally, what are the advantages of not being in NYC?
 How are desks/groups arranged?
 Strong fixed income market in addition to futures
 Are the offices regional or do they handle a certain product?
 From a PWM standpoint, are the relationships regional based or are they by
group? How is coverage?
 From a general standpoint, how is interaction with NYC?
 Markets open earlier in the day (day light savings)
 MERC, CBOT (went public) close by – what impact does that have?
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Investment Banking
Below are some considerations/questions:
 Middle Market Investment Banking –
 Serve clients with revenue of more than $25 million but less than $1 billion
 Strong majority of deal transaction size range from $50 million to $500 million
 Offices range from 20 – 90 IBD employees
 Services (in order)
 Advisory
– Buy side vs sell side (including auctions, management sales)
– LBO both from a sales and buy side standpoint – heavy interaction with PE Shops
 Restructuring
 Fairness Opinions
 Capital raising
– Limited, but interesting to know how they engage in equity and debt fundraising and the platform that
is used across banks
 A strong misinterpretation is that middle-market bankers work less hours.
This is very wrong, but just like other markets, work life balance varies
among different firms
 How is the culture of the middle-market investment banks?
 How do satellite offices interact with New York?
 Is the client portfolio regional?
 Middle market clients tend to be smaller or emerging companies
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Investment Banking
Continued…Below are some considerations/questions:
 A strong misinterpretation is that middle-market bankers work less hours.
This is very wrong, but just like other markets, work life balance varies
among different firms
 How is the culture of the middle-market investment banks?
 How do satellite offices interact with New York?
 Are there product and coverage groups segmented into the bank or is it
more general? Furthermore, if there are coverage groups, how are
product services integrated within those groups?
 Is the client portfolio regional?
 Middle market clients tend to be smaller or emerging companies
 Typical characteristics include (there are always exceptions):
–
–
–
–
Less mature company management; Need to walk clients through the process more
Strong industrial focus in addition to consumer and healthcare
Some activity in telecom, power, chemicals, utility
Technology, international, media not as strongly represented
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