SEMINAR LENGTH
3 days
SUBJECT FOCUS/CONTENT
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Review of valuation concepts and techniques used in project finance applications, both in domestic and international capital markets
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Examination of transaction structuring issues and deal process in project finance
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Exploration of structured finance and derivative securities applications in project finance
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Framework for marketing project finance ideas to bank clients which includes: identifying a client’s needs, reviewing relevant valuations, financing alternatives and current market conditions, proposing the best solution and executing the deal
- Detailed transaction studies that explain the execution of project finance deals and potential marketing problems or opportunities that can arise
Valuation in Project Finance
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Methodologies
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DCF Analysis
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APV
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Relative Value Applications: P/E, P/BV, P/EBITDA, etc.
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NAV
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Industry Metrics
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Emerging Markets Valuation Issues
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Currency-driven adjustments
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Inflation-driven adjustments
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Local market factors
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Project Finance: Deal Structuring and Process
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Capital Structure:
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Bank Credits/Senior Debt
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Private market financing
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Public market bond financing, including 144A
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Equity investors
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Vendor Financing
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Buy-side Capital Providers
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Institutional dynamics
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Specialized institutions
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Contracts and Party Obligations
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Documentation
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Insurance
Structured Finance: Applications
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Securitizations of Receivables Streams
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Uses in Risk Management
Capital Markets Specialist Presentations
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Discussion of the bank’s position in capital markets product areas relevant to project finance mandates
Client focus workshop
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Analysis and discussion of a selected client situation involving project finance work that leads to subsequent presentations and follow-up marketing in coordination with the capital markets specialists
TARGET AUDIENCE
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Investment bankers who cover clients with potential project finance needs
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Relationship Managers who cover clients with potential project finance needs
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Capital Markets and other product specialists that help investment bankers and RMs market and execute project finance mandates
PARTICIPANT OBJECTIVES
By the end of the workshop, participants will:
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Understand the basics of project finance valuation
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Grasp the key issues in capital structure in project finance, as well as structured finance applications
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Be familiar with project finance transaction process and mechanics
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Be able to identify opportunities and work with their clients in defining project finance needs and opportunities
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Be ready to prepare a pitch book and market project finance ideas to clients
METHODOLOGY
Lectures, presentations, discussions, and case studies. Participants will be asked to identify potential client project finance applications in advance of attending the course with a view to making presentations and working with specialists during the session to develop a call plan and marketing approach.