Realising Infrastructure & Transport Sector Opportunities

With offices in South Africa and Mauritius, Cresco will assist your project in unlocking its potential and success.

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Introduction to Cresco Transactional Advisory

Project Finance Advisory

Financial Modelling

Export Credit Agency & CPRI Advisory Advisory

Due Diligence

Commercial Project Management

Cresco is a boutique financial advisory firm having as its core service the rendering of assistance to project promoters, across various industries and sectors, in the development of projects to a bankable stage and marketing those projects to investors and financiers.

Cresco provides a full range of advisory services to both private and public sector bodies. Whether you are a private sector developer or a public sector procurer of a PPP project,

Cresco is able to partner with you and create the opportunity to move your project up the value curve from concept to operations.

Cresco’s core services:

Cresco office’s in South Africa and Mauritius:

1st Floor, 267 West Building, 267 West Avenue, Centurion, 0157

8th Floor, Regus, Ebene Views, 66C2, Cybercity Ebene

Cresco offers a full range of project finance andtransactional advisory solutions throughoutSub‐SaharanAfrica tomeet the diverseneedsofits clients in financial strategies, financialmodelling, fund raising and commercialmanagementof projects.

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Introduction to Cresco

Established in 2005 on a philosophyof entrepreneurial thinking, Crescooffers its clients advice on nicheproject finance solutions and providestransactional project development andimplementation support outside oftraditional balance sheet financesolutions.

Cresco has the necessaryexperienced resources andspecialist expertise to support theentire project development processfrom inception to operations. Thekey team members havebackground in commercial banking,development finance and utilities.

With deep sector knowledge andexpertise Cresco’s team providessupport throughout the projectlifecycle. A local team with specialistglobal insight Cresco has a broadrange of relationships with potentialpartners and equity funders on theAfrican continent.

Financial modelling scenario and sensitivity analysis drives many key decisions

Cashflow is key

Cresco will structure the optimum funding strategy for a particular project

Right funders per asset class & country

The Cresco team will market the project to the most appropriate funders, matching the risk profile of

the funder with that of the project, thereby achieving competitive pricing

Following a key project risk analysis approach, Cresco’s project evaluation provides the outline

for opportunities and strengths and defines what additional capacity / requirements will be needed

for the project to be bankable

Cresco is able to fit seamlessly into your project development team: adding capacity

or fully outsourced solutions

Cresco offers a full range of project finance and transactionaladvisory solutions throughoutSub‐SaharanAfrica tomeet thediverseneeds of its clients in financial strategies, financial modelling, fundraisingandcommercialmanagementof projects.

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Cresco’s Coverage:Key sectors focus

Cresco is a specialist in raising finance, having beenat the frontline ofproject financing of a wide range of projects across many industriesthroughoutAfricawithmanywell knownbrands in thekeysectors

Energy Infrastructure Mining Health

Water & Sanitation Transport Agro

BeneficiationReal Estate

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Cresco’s Infrastructure Experience: Presence in Africa

Crescohasextensiveexperienceof infrastructureprojects inAfricaSetoutbelowaretheselectedkeyrailprojectexperienceCrescohasalsoworked inmostother jurisdictions inother sectorsas setoutbelowwith theCrescoLogo.

NIGERIA

Financial Advisory

Transnet Rail Project - FGN

NIGERIA

Financial advisory, Concessioning

Lagos Commuter Rail Project

SOUTH AFRICA / SWAZILAND

Funding plans financial modelling

Transnet / Swazi Rail interconnector

SOUTH AFRICA

Export Credit FinancingTransaction Advisory

Gautrain Rolling stock expansion

TANZANIA

Transaction advisoryFunding & modelling

Dar Es Salaam Commuter Rail Project

SWAZILAND

Feasibility, Financial advisory and financial modelling

Integrated Sugar Project & Rail Logistics

BOTSWANA

Financial modellingFunding plan

Coal rail option analysis

SOUTH AFRICA

Financial Modelling Crude Oil Tank farm

GABON

Financial Advisory & Financial modelling

Libreville Airport –High Level Feasibility Study

NORTH SOUTH CORRIDOR

Transaction advisoryInstitutional Framework

5 projects in North South Corridor [In progress

ZAMBIA

Financial Advisory & Financial modelling

Royal Haskoning -RDFA Tolling Strategy -PFS - Financial Modelling

SOUTH AFRICA

Financial Modelling & Tariff Application

OTGC - 2013 Financial Modelling & Tariff Application

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Cresco’s experience: recent project credentials in Africa

Market and sector champions provide significant efficiency in getting project market ready. Cresco has the specific sector experience to bridge the gap between various stakeholders – lenders, off‐takers, government and of course investors – to result in a successful project.

EnergyMaamba Integrated Power Project300 MW coal fired power project in ZambiaIntegrated coal mine & transmission lineMining, generation, transmission and water pipeline asset with multiple lenders~USD 800 millionFinancial close in July 2015

Kathu Concentrated Solar Project100 MW concentrated solar power project in South AfricaGeneration and transmission asset with multiple lenders~ ZAR 10 billionFinancial close in 2015

African Projects & Identification ReviewAfrican projects identification and assessment across various renewable energy technologiesIn-country research, due diligence and feasibility work

Infrastructure440 km Multi product pipelineCross border pipeline from Maputo to JhbLocal shareholding in both countries with large strategic operating partnerR3 billion total capexProject received tariff award – financial close not achieved

Lagos Red Line Mass Rail Project35 km mass rail project from Ikeja to Vic IslandConcessioning approach with split of rolling stock and infrastructure lineUSD2,5 billion total capexConcession awarded – final funding awaiting

Oil Tanking Grindrod Fuel Storage Terminal132,000 sqm clean products fuel storage terminalLinked to new harbor infrastructure~ ZAR 2 billionIn final financing stage post signature of BOOT with Transnet

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PRE-FUNDING

FIN

AN

CIA

LC

LOSE

POST-FUNDING

Concept Pre-Feasibility

Bankable Feasibility

Fund Raising

Implementation/ Construction Commission Operations

Cresco’s Experience: Services Through Project Development

Cresco has been involved in numerous projects at various stages of the project development cycle. Below is a selection of project credentials illustrating Cresco’s experience within the development lifecycle:

Technical Completion

Financial Completion

Zambian Toll Road study

Dar es Salaam Commuter Rail Project

Swazi Rail Link Various Tank Storage Facilities

Concept / Pre-Feasibility level generic financial

model for Zambian Toll Road

Financial modelling and financial advisory

services

Financial Modelling, funding strategy and

Initial Funding Market Sounding

Financial Modelling, Due Diligence, Debt Restructuring Modelling, National Energy Regulator

interaction and tariff applications

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Cresco’s Experience:The Funding Market

Cresco is experienced in engaging with  all funders from both the  investor and lender perspective across the project funding timeline. Liquidity is available for good quality, well  structured packaged projects.

Project funding sources

Development finance• Preparation funding• Strategic partners• Bridging finance: security

Project finance: equity• Strategic partners• IPP’s• Institutional investors• Concessionaires

Project finance: debt• Commercial lenders• Export credit agencies• DFI’s• Institutional investors

Projects are likely to have different funding partners; for example  some funders will not participate in coal but will be keen to participate on port and/or transmission line. 

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Cresco’s Approach

Funding Raising

• Development/bridging finance

• Project finance: debt

• Project finance: equity

Strategy

• Finance risk mitigation strategy

• Fund raising strategies for Development, Equity and Debt

• Pro’s and Con’s to each strategy analyzed

Analysis

• Understanding project dynamics

• Project risk analysis

• Gap analysis

• Financial modelling

• Defining project requirements

Cresco’s experience is that “packaging the Project” for the rightfunders is key. A project of this size requires integrated involvementand different approaches to raise the significant peak fundingrequirement. Each sub‐project will have unique requirements andbespokefundingpackage.

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Cresco’s Value Add: Engaging the Funding Market

Independent & without conflict (with reference to MLA’s) Independent & without conflict (with reference to MLA’s)

Develop funding strategy after understanding project dynamicsDevelop funding strategy after understanding project dynamics

The successful funding package for the previous transaction is not necessarily the correct solution for this projectThe successful funding package for the previous transaction is not necessarily the correct solution for this project

Identify appropriate funders for each component of the projectIdentify appropriate funders for each component of the project

Access to a variety of sources of funding: both geographically and type of funderAccess to a variety of sources of funding: both geographically and type of funder

Build credible and detailed financial models to support the funding effortBuild credible and detailed financial models to support the funding effort

Assist with credit enhancement options: insurance, guarantees, etc.Assist with credit enhancement options: insurance, guarantees, etc.

PRE-FUNDING

FIN

AN

CIA

LC

LOSE

POST-FUNDING

Concept Pre-Feasibility

Bankable Feasibility

Fund Raising

Implementation/ Construction Commission Operations

Raising financing for real estate projects and obtaining appropriateterms for it (including price and maturity) are all about getting theright interconnection between liquidity, risks mitigation andstructuring. Managing the funding process through to financialclose is essential.

Raising financing for real estate projects and obtaining appropriateterms for it (including price and maturity) are all about getting theright interconnection between liquidity, risks mitigation andstructuring. Managing the funding process through to financialclose is essential.

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Cresco’s Value Add:Proven & Successful Track Record

Truly independentResponsibility only to

look after project’s interests and no lender

conflicts

ExperienceExtensive Africa and sector experience,

Proven funding structures

Extensive Network

Across the continent and world both in funding

and insurance “Existing relationships”

Personal Dedicated team who get intimately involved with

the projectName on proposal

working on your team

Cresco provides the opportunity to move your project up the valuecurve through the application of specialist project financing expertiseincluding financial, commercial and project management skills thatyourprojectneeds to rise to its full potential.

Cresco provides the opportunity to move your project up the valuecurve through the application of specialist project financing expertiseincluding financial, commercial and project management skills thatyourprojectneeds to rise to its full potential.

www.crescogroup.africa

info@crescogroup.africa

+27 (0)12 663 3660+230 460 4304

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