Project Financing Advanced Module: Diploma Program in Corporate Finance
October 19, 2019 - October 26, 2019
9:00am - 5:00pm
Early Eagle Rate:
October 07, 2019
Project financing has increasingly emerged as the preferred alternative to conventional methods of financing large-scale, capital-intensive projects, from pipelines and refineries to power-generating facilities, hydroelectric projects and many others. Even the government has used it to finance many of its infrastructure projects.
Project financing covers a host of issues that can be quite intricate and formidable; misunderstood and misapplied, these can result in project viability erosion and/or hefty cost overruns.
This substantive three-day module attempts to untangle the intricacies of project financing and walks the participants through the entire process in a user-friendly manner, from a comprehensive exploration of facts, figures and potential faux pas to the preparation of the financial plan, assessment of risks, design of financing mix and raising of funds. The module likewise discusses the process' underlying security support and legal documentation.
Who should attend
This module is highly recommended for investment bankers, business professionals and other finance practitioners involved, one way or another, in structuring the most cost-effective means of financing their large-scale, capital intensive projects. Those familiar with or have adequate working knowledge of investment banking and basic business mathematics and statistics will find this module most meaningful and beneficial.
Successful completion of this module enables the participants to:
- Gain a comprehensive understanding of project financing, its intricacies and benefits as well as the challenges project proponents routinely face;
- Assess the viability and bankability of large-scale, capital-intensive projects;
- Identify and evaluate the potential risks associated with proposed projects;
- Develop financial plans and test the reasonableness of the assumptions used therein;
- Structure appropriate financing schemes for selected projects, including features intended to mitigate perceived risks;
- Identify sources of special financing programs offered by funding institutions that can be tapped as part of the financing package; and
- Understand the underlying security support and legal documentation for proposed projects.
The module, which employs lectures, interactive discussions, case studies and practical application exercises, covers the following areas:
- Project financing: definitions, rationale, intricacies, benefits and challenges
- Project financing vs. direct financing
- Analysis and evaluation of project viability and bankability
- Preparation of cash flow projections and their use to measure expected rates of return
- Determining a project's borrowing capacity
- Risk assessment and mitigation
- Credit requirements of lenders
- Legal structure and security arrangements
- Financial plan preparation
- Design and development of suitable financing arrangement
Mr. Antonio Jacinto is a consultant specializing in banking and finance and is also a member of the faculty of the Ateneo Graduate School of Business.
He was previously a Senior Vice President for Corporate Banking at BDO Unibank Inc. where he was responsible for managing and growing one of the largest loan portfolios in the bank.
Prior to this, he held other posts such as : Director for Corporate Clients at ING Bank and Managing Director at SGV/Ernst & Young Transaction Advisory Services, to name a few.
Mr. Jacinto obtained his BS Business Economics degree from the University of the Philippines and his Master of Management degree from the Kellogg Graduate School of Management, Northwestern University (Illinois, USA).