This presentation contains a brief overview of various financial strategies used by Investment Banks.

1. Financial Strategies – Investment Banks
Presented By:
Neha Agrawal
Department of Management Studies
Pondicherry University

2. Raising venture
& growth capital
Structured
investment/convertib
le products
Mezzanine Financings
Buyouts by financial
sponsors
Mergers & Acquisitions
Divestitures
Spin-offs
Joint ventures
IPOs
Open offers
Rights issues
Private placements
Capital restructuring
Distressed debt
Equity buy outs

3. Underwriting Syndication
Book Running Lead Manager for Oberoi Realty
Kotak, ENAM, J.P. Morgan, Morgan Stanley

4. Offering of securities simultaneously in
several market throughout the world

5. Hedging Strategy
–Riskless Arbitrage -Risk Arbitrage
-Speculation

6. VC services help the Investment banking firms in
gaining the equity shares in new company which
proves to be good investment avenues for the
investment banking firm.

7. S
E
C
U
R
I
T
I
Z
I
N
G

8. Benefits
• Funding Alternative
• Balance sheet Management
• Re-allocation of Risk
• Operating Process Efficiency
• Improves operating leverage
S
E
C
U
R
I
T
I
Z
I
N
G

9. Bridge Financing
They receive shares of the company at a
discount from the declared issue price.
This discount will typically offset the
total amount of the bridge loan.

10. Investments in Derivative
Instruments

11. Creation of Subsidiaries

12. THANK YOU!!