Transaction Advisory Identifies Project Risks That May Hinder Success

Independent Analysis Based on Assessing Risk

Transaction Advisory from 1898 and Co., part of Burns & McDonnell, is unique in the marketplace. By defining the most important risks, investors gain a much-needed independent assessment of each project prior to committing capital. Our due diligence focuses and prioritizes risks based on its potential to affect project returns and debt service coverage:

• Project Execution – including contractor capabilities, project schedule and budget contingencies, materials management plans and construction labor plans
• Operations and Maintenance Plans – organization and staffing, including recruitment and training with industry standard policies and procedures.
• Third Party Risk – including project-on-project risk and utility, supply and offtake arrangements
• ESG Risk – from permitting to assessment of a project carbon footprint

Knowing where the key technical risks lie can mean the difference between success and failure.

A Disciplined Approach = Better Due Diligence

Actionable risk assessment is the goal with every engagement. Whether advising on a transaction – such as a potential acquisition, merger or divestment – or a strategic plan to construct of retrofit a facility, we use a standardized approach to due diligence and customize the assessment to a particular project.

The results of our technical due diligence are assessment of the project completion, technical and operational risks which may be directly incorporated into the project financial model in the form of sensitivity cases so the investor can make more informed decisions.

Beyond Due Diligence

We help build the bridge between technical and commercial issues. Our services do not end with technical due diligence. We assist investors with financial closing support and post-close project monitoring.

We are a partner during the documentation process, providing input on drafting technical schedules and terms such as asset descriptions, performance test protocols, technical specifications, reporting requirements, and sizing of reserves and working capital.

We also monitor construction of a project to give independent assessments of project budget and schedule performance, as well as reviewing construction draw requests.

Delivering Value Through Partnership

In any project or transaction, value is delivered via informed analysis. This is derived from conversations with all parties involved and then bridging the gaps between technical and commercial issues.

In any project or transaction, value is delivered via informed analysis. This is derived from conversations with all parties involved and then bridging the gaps between technical and commercial issues. Each party to a transaction views risk and complexity differently. As an independent adviser, we help all parties come to the same understanding of how assets are likely to perform and the expected range of outcomes.