applied project and infrastructure finance

8/7/2019 Applied Project and Infrastructure Finance

http://slidepdf.com/reader/full/applied-project-and-infrastructure-finance 1/5

Appl ied

Pro ject and

Inf ras t ructure

F inance

The only executive workshop on project finance combining the strong theoretical

concept with the blend of practical issues

Number of Case Lets to be discussed:

6 case lets will be discussed during the delivery

of the session to reinforce the concepts

Number of Case Studies to be discussed:

2 national

2 international

Marketing Partner -Organised By -



Program Objective

Project Finance involves the raising of funds to finance an economically separable capital investment project

in which the providers of the funds look primarily to the cash flow from the project as the source of funds to

service their loans and provide the return of and a return on their equity invested in the project.

This is a practical course that provides executives, whether as financiers, sponsors, or professional support, an

opportunity to understand the risk return character of limited recourse projects from multiple perspectives.

Case studies span a variety of sectors and geographical regions.

The programme not only deals with the issues at the present, it helps participants to build up the future models

of financing thus fostering the innovative concepts of the project financing.

Key Take away

At the end of the 2 day ses s ion the

part ic ipants wi l l gain an unders tand-

ing of the bank ing p roducts ava i la -

b le in Ind ia in the area of p ro ject f i -

nance. Th i s workshop i s on ly of i t s

k ind wh ich b r idges the gap between

lender and bor rower as i s sues f rom

both s ides are d iscussed.

Hands on exerc ise in MS Excel : The

programme i s the on ly of i t s k ind

where in bu i l t exce l app l icat ions a re

used in a sc ient i f ica l ly des igned MS

Exce l sheets .

Key Benefits

Doing this course will help participants to -

Articulate what project financing is.

Define the roles and objectives of the

various participants

Assess the risks of the transaction from

different viewpoints

Recite numerous examples and apply

them to everyday

Know the basic term sheets, structures

and legal documentation

Who Should Attend?

Management and Finance Professionals from:

Oil, Gas, Power and Renewable Sectors

SEZs, Roads, Ports and Airport Sectors

Industrial and Manufacturing Sector

Management and Business Consulting Firms

Financial Institutions

Faculty Profile

A seasoned banker and academician would conduct the

workshop. He brings a rare combination of academician and

working professional. He is a visiting faculty to IIM Calcutta and

has conducted over 1000 training hours and training over 500

trainees in the same topic.

Appl ied Pro ject and

Inf ras t ructure F inance

6th - 7 th May | New Delh i

13th - 14th May | Mumbai

+

+

www.opt i r i sk india .net



Session One

Different types of financing available in the market :

Objective: To make participants aware of the dif-

ferent financing products available in the market

Takeaway for participant: Building up the com-

plete picture of different available financial prod-

ucts in the Indian Market

Difference between Term Loan and project financ-

ing :

Objective: To make participants aware the real

meaning of project finance and its difference

from the traditional term loan financing. Take away for participants: Participants would be

able to find out different parameters to be

looked for term loan assessment and Project Fi-

nance assessment.

Difference between Working capital financing and

project financing :

Objectives: To make participants aware of the

different assessment process of these two types of

financing.

Take away: Understanding the linkage between

working capital financing and project financing.

Definition of Infrastructure financing :

Objectives: Understanding the concepts of infra-

structure financing and its characteristics.

Take away: Participants would be able build up a

complete understanding of the Infrastructure fi-

nance from different regulators perspectives and

importance of proper classification.

Methods of Infrastructure projects being awarded in

India :

Objectives: Understanding the concept of differ-

ent methods of execution of infrastructure pro-

jects in India and rationality of a particular meth-

ods.

Take away: Complete understanding at the fun-

damental level the concept of the different

methods of infrastructure finance in India and ra-

tionality of a particular method of executions .


Inf ras t ructure F inance Cur r icu lum

Session Two

Determination of Project Cost:

Objective: To build up the correct concept of

project cost. In the market, there are lot of ambi-

guity about determination of project cost. To

make them understand clearly is the first step for

project financing. Under this topic , it would be

cleared in detail

Take away for participants: Participants would be

able to build up a complete understanding of

project cost for different industries .

Linkage between working capital assessment andproject financing :

Objective: To build up concept to see the project

financing as totality not in isolation .

Take away for participants: Participants would be

able to understand the importance of working

capital linkage in project financing .

Arrival at the appropriate level of working capital re-

quirement :

Objective : To understand the concept of arriving

at the techniques of working capital requirement

for the entire project and importance of it in the

overall evaluation of the project

Take away for participants : Participants would

be able to comprehend the entire process being

followed in an organisation for assessment of

working capital requirement .Participants would

be also able to calculate the mechanism of cal-

culating the same in Ms Excel

Means of finance :

Objective : To understand the meaning of means

of project finance.


be able to under stand the concept and mean-

ing of means of finance. This would help them to

correlate the means of finance with project eval-

uation steps.

Different sources of means of finance :

Objective : To make the participants aware differ-

ent sources from which project financing need

can be met .




Take away for participants : Participants would be able to know the different sources of finance and this

would help them to raise fund at a better cost .

Concept of margin money :

Objective : To understand the concepts of different types of margin money and to break the wrong con-

cepts prevalent in the marked associated with margin money.

Take away for participants : Different forms of margin money and use of appropriate margin money to

reduce the cost of fund for project. Application of subordinate debt in the margin money .

Tying up of working capital :

Objectives : Creating awareness about the practical aspects of tying up of working capital .

Take away for participants : Understanding the entire practical issues associated with tying up of working

capital with lenders prevalent in India . This would reduce the time required for such tying up.



Session Three

Techniques of financing forecasting :

Objectives : To make them aware the steps fol-

lowed in financial forecasting in Ms Excel.


be able to prepare the financial forecasting with-

in shortest possible time by way of creating effi-

cient Excel spreadsheet.

One case study along with MS Excel exercise wouldbe carried out by the trainer. The participants would

be provided hand holding for preparation of finan-

cial forecasting of a project from a case study by in-

corporating relatively moderate level of complexity

of a project.

Session Four

Project Evaluation techniques : Concept of Net Pre-

sent Value & IRR :

Objective : To understand the NPV and IRR con-

cepts clearly from practical point of view andhow it is applied in project evaluation process.

Take away for participants : Use of NPV and IRR

concepts in project evaluation followed in prac-

tice .

How to calculate Discounted Cash flow :

Objective : To use the appropriate discount rate

for preparation of discounted cash flow.


Take away for participants : Preparation of dis-

counted cash flow for any time period and for

any frequency.

Calculation of appropriate discount rate :

Objective : How to calculate appropriate dis-

count rate in practice .

Take away for participants : Calculation of ap-

propriate discount rate for projects to be carried

out by large company , small and medium com-

pany in Indian perspective.

Session Five

Weighted Average Cost of Capital (WACC) :

Objective : Calculation of cost of capital for di-

versified business interest companies .

Take away for participants : Use of appropriate

WACC for project evaluation in a diversified busi-

ness interest companies.

Application of WACC in discount rate :

Objective : Use of WACC to find out NPV and IRRof the project .

Take away for participants : Establishing concep-

tual and practical linkage between WACC , dis-

count rate and evaluation methodology .

Capturing uncertainty in project appraisal :

Objective : Making participant understand the

importance of capturing uncertainty in the pro-

ject appraisal which are not being followed very

diligently.



Session Six :

Sector specific discussions of Infrastructure :

Power Sector :

Objectives : To understand the main regulationsof the power sector and risks associated with the

power sector financing

Take away : Broad understanding of the power

sector in India and their methods of financing

Session Seven

Road Sector :

Objectives : To understand the newer methods of

financing of the road sectors

Take away : Broad understanding of the risks and

methodology involved in the road sector financ-

ing

A detail case analysis of a road project in India and

comparison of the same with the project in Mexico so

that the participants can find out the innovation re-

quired for the financing of the road project in India.

During this case studies , we shall discuss in detail

about the different provisions of the Concession

Agreement and proper methodology adopted for

risk mitigation .



Session Eight

Port Sector :

Objectives : To understand the important regula-

tory aspects of the port ( both airport and seaport ) .

Take away : Building up the concept of the inno-

vative methods of financing of port

Urban Infrastructure :

Objectives : Generating awareness about major

issues related to urban infrastructure projects

Take away : Different methods of financing for

the urban infrastructure projects

Case let : Mumbai Metro Railway project one andDelhi International Airport Project cases and learning

from them


Take away for participants : Conceptual understanding of uncertainty and methods of handling them in

the real life.

Methods of uncertainty capturing in project finance :

Objective : Creating awareness of different accepted methods to capture uncertainty associated with a

project

Take away for participants : Application of methods of capturing uncertainty in real life situation.

applied project and infrastructure finance

Documents