Corporate finance cannot develop autonomously without active collaboration of experts from different countries. Financial and investment decisions are influenced by numerous factors, stemming from both local peculiarities of individual countries and the international context. Continuous exchange of ideas among experts, representatives of the academic community on modern methods and technologies in the field of corporate finance is extremely important both in terms of research and ensuring high-quality educational processes in the relevant direction.As part of the internationalization of education, this year we continued the project initiated in 2022 for joint teaching of the course Advanced Corporate Finance, conducted by the Department of Corporate Finance and Controlling of KNEU and the Chair of Corporate Finance at the University of Konstanz. This year, students in the Corporate Finance program studied the discipline of Advanced Corporate Finance, which consists of two modules:
ACF 1. Corporate Finance – Prof. Dr. Oleg Tereshchenko;
ACF 2. Advanced Corporate Finance – Prof. Dr. Axel Kind.
Tutorials were provided by Associate Professor of the Department of Corporate Finance and Controlling, Olha Honcharenko, who, as part of the project, worked for some time at the University of Konstanz together with Professor Kind. During the visit she familiarized herself with the approaches to teaching corporate finance at the partner university and participated in a roundtable discussion on the differences between Ukrainian and German academic traditions.
Based on the results of studying the educational modules, students delved into developing applied case studies on the issues of corporate governance and business valuation. The project involved 18 students who were divided into mini-groups, each tasked with analyzing the corporate governance and evaluating the value of two selected companies (one Ukrainian and one German/Swiss). Participants conducted assessments on well-known companies such as Kernel, MHP, Ferrexpo, Astarta-Kyiv, Nestle, Bayer.
On May 27-28, students presented the results of their analytical work before a committee composed of Professor A. Kind, Professor O. Tereshchenko, and Associate Professor O. Honcharenko. The students provided an in-depth analysis of the corporate governance structure of the analyzed companies, highlighted the characteristics of board remuneration systems and their sensitivity to changes in company performance. They evaluated the level of corporate governance in the companies and drew conclusions based on a comparison of corporate governance practices between Ukrainian and Swiss/German enterprises. Additionally, they worked on the methodology for calculating WACC and forecasting Cash Flows. The results of their work were assessed according to the European evaluation scale and documented in the corresponding certificates. On June 30, several students took their final exam with Professor A. Kind.
Participants of the project had the opportunity to exchange knowledge and research ideas. As a result, certain anomalies were identified in the corporate governance and valuation of Ukrainian enterprises. Despite the war and geopolitical risks, some companies demonstrate stable growth in value on international markets. This raises concerns about the potential market ignorance of such risks. Another anomaly is associated with the significantly low level of remuneration received by members of the supervisory boards of specific enterprises, suggesting the presence of "shadow bonuses." Therefore, a range of problems requiring joint research have been identified.
Overall, the project helped our students become stronger and more confident in the field of corporate finance. They gained new international experience and educational competencies, and the certificates they received will be a significant addition to their CVs.