The United Arab Emirates has become a major international center of business activity and established itself at the heart of major trade routes between the East and the West. Many new companies were being floated and projects initiated by existing companies as a part of related or unrelated diversification. However, due to the global economic crisis and the crisis of confidence that has emanated, liquidity has dried up. Many project sponsors are now finding it difficult to bring the requisite share of their equity funding in the project as originally envisaged in the funding plan which ultimately results into cost and time overruns, thereby having negative impact on project viability. It becomes imperative for banks, financial institutions and equity investors to carry out an exhaustive credit appraisal of these projects prior to funding.
At D&B we understand the nuances of such projects is vital for both the project sponsors and the banks/funding agencies. Based on its experience in carrying out Project Appraisal Services, D&B has developed an assessment methodology and process to evaluate projects. The methodology achieves a fine balance between information availability and the comprehensiveness of the risk factors to viability in ascertaining the project quality.
Business Direction & Management
- Project Rationale
- Project Fit to Strategic Objectives
- Management Capability and Project Management Expertise
- Nature of product and end user characteristics
- Industry Structure & Market dynamics
- Pricing trends
- Government Regulations
- Analysis through Five— Force Model
- Production Technology evaluation
- Raw Material, other input material & utility arrangement
- Marketing strategy
- Manpower planning
- Project cost estimation Industry
- Fund requirement & assessment of debt equity ratio
- Projected Financials
- Estimation of financial indicators
- Uncertainty in project outcome captured by sensitivity analysis
THIRD PARTY ASSESSMENT
D&B TEV Study is a neutral, third party and comprehensive assessment of the prospects of project entity. As a part of the project assessment process, a comprehensive project report is submitted that cover issues related to technical, industrial and financial.
IMPROVED FUNDING PROSPECTS
The Project report helps investors, banks and financial institutions validate their own research findings and make a more informed decision.
HIGHLIGHTING RISK AREAS
The neutral assessment and the analysis conducted on different dimensions also assist the project sponsors to better understand the risks inherent in the undertaking and can formulate strategies to mitigate the same.
HOW IT WORKS?
VALUE ADDED RISK SOLUTIONS
To help you easily make sense of, benefit from and track all this data in the way that best suits your needs, we also provide an extensive portfolio of value added risk management solutions including: