Eden recognises that there are many challenges in securing project finance in the current market environment. Lending from the typical banks has tightened and favours multi-project companies or projects in the more well-known commodities, such as precious metals and base metals. As such, Eden takes a holistic approach to project finance considering vanilla senior debt, mezzanine debt, bonds, off-take / royalty financing as well as hybrid instruments.
There are numerous consideration factors when structuring a project finance facility. Presenting the business plan / financial model in a professional manner can assist to maximise terms and competitive tension from multiple parties.
Our project finance services include:
- Review of financial model / build of bank friendly financial model;
- Advise on capital structure and leverage capacity;
- Advise on debt ratios and capacity to support finance facilities;
- Advise on security packages and any intercreditor agreements;
- Advise on likely pricing and decision on floor pricing / terms;
- Preparation of the Virtual Data Room, Flyer and Information Memorandum;
- Management of due diligence, site visits and Q&A with multiple parties and their advisors;
- Structuring of term sheets, negotiations and assistance with final documentation with lawyers and advisors.
We have a strong network of lenders in Australia, Asia, Europe and the Americas to ensure a range of parties have the opportunity to participate in the financing. In addition, we can assist clients with a divestment of a minority interest at the project level when the capital requirements are too large for the company’s current market capitalisation, which reduces the proportionate quantum of capital required.