RX SA Interview Tips for a Non-Target

Hi guys, non-target here that somehow managed to get a first round for my dream RX firm (think HL/EVR/LAZ) and I have no idea where to start. I looked over Moyer's but I still feel completely overwhelmed by everything. I heard that first rounds in RX are extremely technical in nature and would appreciate any help or insight into preparing. I know this might be my only chance to break in and I really don't want to waste it!

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Houlihan Case Study is good. Know recovery waterfalls, YTM calculations, general understanding of ch 11 and pre-pack vs free fall, 363 sale, basic understanding of POR and requirements for approval, very strong understanding of the capital structure and different types of subordination (structural vs contractual), causes and solutions of financial distress, PIK interest, theory behind why the equity of a distressed company trades above zero (it's basically a call) also just general accounting, valuation, and LBO knowledge. You are not going to be asked or even be able to prepare for a question on every topic, but really anything is fair game. For example, when I went through my interviews with a different bank I was given a structural subordination case study and asked to do recoveries and calculate post reorganization equity ownership. Also know a case really well (read the POR)

 

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