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Renewable Energy Business Opportunities in the U.S. for International Firms

Renewable Energy Business Opportunities in the U.S. for International Firms. Value Proposition. Assist and partner with companies interested in entering the U.S. Renewable Energy Market

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Renewable Energy Business Opportunities in the U.S. for International Firms

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  1. Renewable Energy Business Opportunities in the U.S. for International Firms

  2. Value Proposition • Assist and partner with companies interested in entering the U.S. Renewable Energy Market • Acquire and restructure existing operating and late-stage development (i.e. shovel-ready) renewable energy projects that are current distressed; • Bid on new Utility request for proposals (“RFP”) for renewable energy projects; and • Access experienced Asset Management and Consulting Services, as required by the investor

  3. The Team • Proven and accomplished energy professionals • Focused on transaction execution • Commercial, engineering, financing, tax, risk and market expertise • Deep and long-term industry relationships • Integrated knowledge of repatriation and tax treatment in Spain and the US

  4. Partnerships • Compensation Structure in alignment with equity positions • Employee contracts – fixed contracts for with termination provisions • Development fee – Percent of the Project Value (i.e. turnkey EPC price) • Residual / Corporate value – Percent ownership of NewCo

  5. Relationships • Utilities/Industrials • EPC • Vendors • Financial (debt financing, dev loan, credit facilities) • Morgan Stanley, Credit Suisse, RBS, West LB, HSH • Consultants • RW Beck, SL, BV, Van Scoyoc

  6. Implementation Strategy • Market Overview • Overview of Capital Requirements • Financing Plan – Develop Real Project with Real Returns • Corporate Operational Expenses • Exit Strategies

  7. Market Overview • $60 billion of renewable energy projects; under development, under construction or placed on hold • Credit and Tax Equity markets are on hold • Existing renewable energy developers are liquidating their projects and portfolios to raise cash • Developers have been forced to defer their development fees • EPC companies are lowering their bids to win construction projects • Equipment costs have fallen both from the vendor and on the secondary markets • Equity and distressed investors are testing the market

  8. Capital Requirements • $200 Million commitment of financial resources over 36 months • $30 -$50 million in available cash to support initial investment activities, subject to senior management approval • Additional investment capital provided upon proven success • The ability to provide parent guarantees, Letters of Credit or a credit facility to support investment activities

  9. Financing Plan • Utilize Financial Leverage by entering into power sales agreement with creditworthy counterparties • Utilize realistic project projections; i.e., forward commodity prices, operational and CapEx costs, and construction costs; for project structuring • Utilize federal cash incentives to support the project’s capital structure by accessing the federal grant window • Implement professional asset and construction management oversight

  10. Repatriation taxes - Spain • Spain - U.S. Tax Treaty: • Distribution of Dividends from a U.S. Co. is subject to U.S. Withholding tax of 10%, but future repatriation of accumulated reserves upon liquidity is non-taxable in the U.S. • Capital gains obtained by the Spanish Co. in the sale of its shares from its’ U.S. subsidiary is non-taxable in the U.S. (except if it is considered a real estate holding company) • Spanish Corporate Tax: • Dividends from the U.S. Co. and its’ capital gains obtained from the sell of its shares are exempted in Spain if the following legal conditions are met: among others, own more then 5%of the U.S. Co. for more than one year, etc. Disclaimer: These are general guidelines, but should not be used as a fiscal advice without checking with your Tax advisor on a case by case scenario.

  11. Experience • 18 years experience in government, media and public relations. • Energy, Infrastructure, Trade, Federal and State and access to leading advocacy company in the US. • 16 years experienced Renewable Energy Financial Executive • Debt Equity, Structured Finance, Mergers, Acquisitions, Divestitures, Tax and Private Equity, Venture Capital, Project Financing and Credit Arrangements, Investment Appraisal and Economic Evaluations. • 17 years experience in energy the energy industry • Risk Management, Management Consulting, Contract Negotiation, Financing, Compliance, Audit and Valuation.

  12. Contact Information Alex Morales Managing Director 2961 Hunter Mill Road Suite 627 Oakton, VA 22124 Tel.: 703.273.0391 Cell: 703.789.1124

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