In August 2011, Wilbur Ross, an American investor specializing in distressed companies, put together a group of investors that raised $1.6 billion to purchase 35% of the Bank of Ireland, the largest private equity deal for a European bank. As a result, the Bank of Ireland became one of the very few large Irish banks not completely nationalized, merged, or liquidated. The investment is the subject of a new online “raw” case study jointly assembled by the Yale School of Management and the University College Dublin Michael Smurfit Graduate Business School through the Global Network for Advanced Management. This panel will discuss some of the key questions in the case study:
- What were the causes of the collapse of the banks in Ireland, and how did governments respond?
- How do investors in distressed properties assess risk and reward and value possible investments?
- What challenges did Wilbur Ross and other members of the Bank of Ireland’s board face as they governed the bank and developed an operating plan?
David Bach YC '98
Senior Associate Dean for Executive MBA and Global Programs, Yale School of Management
William N. Goetzmann YC '78, '86, PhD '90
Edwin J. Beinecke Professor of Finance and Management & Director of International Center for Finance, Yale School of Management
Dean, University College Dublin Michael Smurfit Graduate School of Business
Wilbur L. Ross, Jr. YC '59
Chairman and Chief Executive Officer, WL Ross & Co. LLC
Professor of Finance, Yale School of Management
David Bach YC '98
Senior Associate Dean for Executive MBA and Global Programs
Yale School of Management
David Bach is a Senior Lecturer in Global Business and Politics. His research and teaching focuses on business-government relations, non-market strategy, and market regulation in a globalizing world economy, with particular emphasis on the regulation of financial markets.
Bach has published widely in leading academic journals and in practitioner publications including the Sloan Management Review, the Financial Times, HBR blog, BizEd, Forbes India, Business Strategy Review, and the Conference Board Review. His work on the nexus of business and politics has twice earned him a spot as "one to watch" for the Thinkers 50 ranking of leading global business thinkers. In 2011, he was named one of the top 40 business school professors under 40 and was selected as one of the top 50 business school professors to follow on Twitter. He has won numerous awards for his teaching and for his case studies on companies including BP, Endesa, Starbucks, and Playboy.
As senior associate dean for executive MBA and global programs, Bach leads Yale SOM's executive MBA programs, the new Master of Advanced Management degree program, and global opportunities, including spearheading Yale SOM's involvement with the Global Network for Advanced Management.
Prior to joining Yale SOM, Bach was professor of strategic management (with tenure) and dean of programs at IE Business School in Madrid, Spain. As dean of programs he was responsible for the school’s portfolio of approximately 20 master’s degree programs and an internal staff of 70 team members, driving program innovation, and ensuring academic rigor and operational excellence. He also served as the academic director of the IE Brown Executive MBA. He oversaw the school’s Learning Innovation division, which develops IE’s acclaimed suite of online learning tools and produces pioneering multimedia materials.
A native of Germany, Bach received his PhD and MA from the University of California, Berkeley, and holds a BA from Yale University.
Edwin J. Beinecke Professor of Finance and Management & Director of International Center for Finance
Yale School of Management
William Goetzmann is the Edwin J. Beinecke Professor of Finance and Management Studies and the Director of the International Center for Finance at the Yale School of Management, where he has been since 1994. He has taught investments, real estate and financial history among other classes. From 1990 to 1994 he taught investments and real estate at Columbia Business School.
Goetzmann is an expert on a diverse range of assets, including stocks, bonds, mutual funds, hedge funds, real estate and art. His research topics include asset pricing, the equity risk premium, arbitrage strategies, selecting investment managers, global investing and financial history. His work has been featured in most of the major financial news publications and his academic research has been published in all of the major academic finance journals.
His published books include: The Origins of Value: The Financial Innovations that Created the Modern Financial Markets (Oxford, 2005), The Equity Risk Premium: Essays and Explorations with Roger Ibbotson. (Oxford, 2006), Modern Portfolio Theory and Investment Analysis, with Elton, Gruber & Brown, (John Wiley and Sons, 2006 and following) and The West of the Imagination, with W.H. Goetzmann, (Oklahoma, 1986 & 2009). His most recent edited volume is The Great Mirror of Folly, Finance, Culture, and the Crash of 1720 (Yale University Press, forthcoming).
His current work focuses on endowments, financial history, operational risk, securitization, credit risk and behavioral finance.
University College Dublin Michael Smurfit Graduate School of Business
A first class honours BComm graduate of NUI Galway, Professor Ciarán Ó hÓgartaigh qualified as a Chartered Accountant with Arthur Andersen (Dublin) and holds a PhD in Accounting from the University of Leeds.
A former Fulbright Fellow at Northeastern University (Boston), he has published widely on financial reporting and on accounting history in international peer-reviewed publications.
Ciarán has led executive and professional education programmes across the Irish public and private sectors. He chaired the Audit Committee of the Department of Communications, Marine and Natural Resources (2003-2006). In 2004, he led a project team which reported to the Commission on e-Voting on the procedural and control issues relating to e-Voting. He has advised the Company Law Review Group on the accounting aspects of the Consolidated Companies Bill and has served as an expert witness in financial reporting in leading tax and commercial law cases. Ciarán currently chairs the Final Admitting Examination Board of Chartered Accountants Ireland.
Professor Ó hÓgartaigh joined UCD in January 2008 from Victoria University of Wellington, New Zealand. As Professor and Chair of Accountancy at UCD, he led the development of the research and teaching portfolio of the accounting discipline at the university.
Professor Ó hÓgartaigh was appointed Dean of UCD School of Business in August 2011. UCD School of Business is the only business school in Ireland to hold the triple crown of international accreditations and the only business school in Ireland whose programmes are consistently ranked in the top 100 in the world by the Financial Times. Under Ciarán’s leadership, UCD Business – incorporating both the UCD Michael Smurfit Graduate Business School and the UCD Quinn School – currently has ambitious development plans which contribute with determination to Ireland’s strengths and needs in these challenging times.
Chairman and Chief Executive Officer
WL Ross & Co. LLC
Wilbur Ross, CEO of WL Ross & Co. LLC, may be one of the best known private equity investors in the U.S. His private equity funds bought Bethlehem Steel and several other bankrupt producers and revitalized them into the largest U.S. producer before merging them into Mittal Steel for $4.5 billion. Mr. Ross remains a Director of what is now ArcelorMittal, the world’s largest steel company. He also created and chairs International Textile Group, the most global American company in that industry; and International Auto Components Group, a $4.5 billion producer of instrument panels and other interior components, operating in 17 countries, and recently sold Homeward Residential, a leading originator and servicer of subprime mortgages, for $3 billion. He had chaired International Coal Group which was sold to Arch Coal for $3.4 billion. He is a member of the Boards of Air Lease Corp., Assured Guaranty and BankUnited, all NYSE-listed, of PLASCAR listed in Brazil, and Sun Bancorp which is traded over the counter. He recently became Chairman of Diamond S Shipping which has committed to a 38 vessel tanker fleet, and is a director of Navigator which has 24 LPG tankers. Most recently WL Ross has acquired substantial interests in five U.S. banks and in Bank of Ireland and England’s Virgin Money. Mr. Ross is also a Board member of Bank of Ireland and Talmer Bancorp.
Mr. Ross was Executive Managing Director of Rothschild Inc. for 24 years before acquiring that firm’s private equity partnerships in 2000. Mr. Ross is a graduate of Yale University and of Harvard Business School (with distinction). He is the only person elected both to the Private Equity Hall of Fame and the Turnaround Management Association Hall of Fame. In 2011, Bloomberg BusinessWeek designated him one of the 50 Most Important Financiers in the World.
Professor of Finance
Yale School of Management
Matthew Spiegel is currently a Professor of Finance at the Yale School of Management. In 1987 he received his Ph.D. in economics from Princeton University. He then taught at Columbia University's Graduate School of Business and subsequently joined the faculty at U.C. Berkeley's Haas School of Business. Professor Spiegel has authored a number of influential papers within finance several winning awards. These include the Michael Brennan and Steve Ross best paper awards and the ANBAR Management Intelligence Citation of Excellence. His most recent contributions lie in the development and application of dynamic oligopoly models to corporate finance as well as how mutual fund returns influence asset flows. He is the former Executive Editor of the Review of Financial Studies (2005 to 2011), and he helped found and then co-edit the Journal of Financial Markets (1998 to 2005). He has also been an associate editor for the Review of Financial Studies, and a past director of the Western Finance Association. He has been honored to give keynote address at the European Financial Management association's annual meeting in Dublin, the New York Triple Crown Finance conference, the Australasian Finance and Banking Conference and European Winter Finance Summit. Professor Spiegel has also been a member of the program committees for a number of major conferences including the Winter Finance Conference, the Western Finance Meetings, the tri-annual JFM-NBER Market Microstructure meetings, the American Finance Association's annual meeting, and the European Finance Association's annual meeting. He is currently the Vice President of the Society for Financial Studies and the Advisory Chair for the Society's annual Finance Cavalcade.