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Part One – done by Sylvaine Chubert


  • ·         Introduction. Project Finance: replacing it in the spectrum of Structured Finance debt products,
  • ·         Comparing it with asset finance and corporate finance,
  • ·         Review of recourse finance and subordination concepts,
  • ·         Main market players in the Project Finance business: industrial sponsors, commercial contractors, (assets manufacturer, O&M, suppliers etc..), offtaker, host countries.

First Case

  • ·         Case study: a power plant in South East Asia,
  • ·         Role and intervention instruments of Export Credit Agencies and Multilaterals (MLA’s),
  • ·         Key functions of banks in the financing process: lenders, arrangers, underwriters, trust agent, swap providers, lessors,
  • ·         Main financing structures: From B.O.T. to Design, Build & Operate (D.B.O.). The SPC as central financing structure. Legal, tax & accounting issues

Second Case

  • ·         Case study: An example of infrastructure finance with Multilateral co – financing,
  • ·         Introduction to the lending process and risk analysis. Credit due diligence from a banker’s perspective,
  • ·         Going through the main practicalities of a project financial model and assessing the debt capacity of a project using a real – life project deal.

Third and Fourth Case

  • ·         Case study: renewable energy plant in France,
  • ·         Review of recent developments in the Project Finance industry: Public Private Partnerships and PFI.
  • ·         Case study: drafting the term sheet of an infrastructure PPP project,
  • ·         Review of the key covenants, Conditions Precedents and securing elements. Waterfall management issues.

Part Two – done by Philippe Duchemin

Presentation of Excel tools used for modelling

  • ·         Present and future value : NPV, internal rate of return : TRI,
  • ·         How to set up schedules with working days,
  • ·         Simple, double and multiple entry table,
  • ·         How to solve complex problems with the help of circularity.

Presentation of financial tools for modelling

  • ·         Financing and amortizations,
  • ·         The interest rates, the interest curve and zero coupon curve,
  • ·         How to find the wacc – weighted asset capital cost,
  • ·         Ratios: pay-bac, DSCR, LLCR.

Other tools for modeling

  • ·         Conventions around the project,
  • ·         Tools and methods to use Excel,
  • ·         Audit and control methods.

Modelling in Excel for project finance

  • ·         Hypotheses, constants, inflation – money terms and real terms,
  • ·         Revenues and costs, financing with debt and capital – debt/capital ratio,
  • ·         Taxes, retained earnings – dividends and reserves,
  • ·         Cash flow, income statement and balance sheet.