Project Financing
ACL provides project finance, trade finance and contract finance, with our utmost commitment to make each deal profitable. We offer unparalleled advisory services before discussing the available financing options. The deal is structured in an optimal manner to ensure supremacy of value. We combine meticulous “Know Your Customer” (KYC) parameters with intuitive value perception to offer the best deals in our niche. Rejection of credit seekers by banks and otherfinancial institutions is never a parameter for us to turn down a prospective partner. Instead, we offer high level mitigation measures as well as better collaboration and capacity enhancementmechanisms to turn a loss into a win. This is the highest ideal we aspire for.We source for funds from a wide array of investors including the following:
(a) Investment funds
(b) Private equity investors
(c) Individual investors
(d) Negotiated bank loans
Project financing is a model that has been used to finance a great deal of sovereign projects in emerging markets across the world. ACL aims to simplify the complex syndicated structure of project financing as used in mega projects, and domesticate this to suit even the low value projects. Our model of project financing therefore adopts the simplistic view that will have the following parties in play:
Shareholders
The lenders
Grantor/Procuring entity
Project company/construction contractor
Supplier of inputs
Each of the parties above gets into a contractual engagement to safeguard the overall goal of all players. Their interrelationship and close cooperation during project execution is key towards successful implementation. Upon consideration of all available options, cash flows from the financed project could occasionally be accepted as a repayment mode for the funds advanced. However in the case of projects whose cash inflows are not apparent in the foreseeable future, the model is structured differently. Formation of Special Purpose Vehicles (SPVs) towards project execution is key in ensuring that all parties are brought under one contractual commitment.