PPP FINANCING FOR INFRASTRUCTURE

Marco Cerritelli

Leaseurope 2008 Seminar

Head of Legal

Lessors in Central, Eastern and SouthEastern Europe

Banca Infrastrutture Innovazione e Sviluppo S.p.a

Sheraton Sofia Hotel Balkan

Intesa Sanpaolo Banking Group

22 April 2008

Avv. Marco Cerritelli, Sofia 22 April 2008

Index PPP FINANCING FOR INFRASTRUCTURE •

Intesa Sanpaolo banking group and the public finance

•

PPP – Main characteristics and market conditions

•

An overview of the current PPP/PFI deal flow in the European markets

•

The Role of the Banks and leasing companies in infrastructure financing

•

The raise of financial investors

•

Major criteria for credit assessment: 6.1 Risk apportionment and sustainable financial planning 6.2 Bankability requirements and credit enhancement techniques from a lender perspective 6.3 The contractual structure 6.4 The concession agreement (selected issues)

12. Lessons learnt: a comparison with the Italian PPP market 13. A case-study: the “scuola di biotecnologie dell’Università di Torino”

Avv. Marco Cerritelli, Sofia 22 April 2008

•

I. Intesa Sanpaolo Group - overview
Intesa Sanpaolo is a new banking group resulting from the merger between Banca Intesa and Sanpaolo IMI. The new Group brings together two major Italian banks with shared values and improves their opportunities for growth.
Intesa Sanpaolo is among the top banking groups in the euro zone, with a market capitalisation exceeding 74 billion euro*, having a leadership in Italy, with an average market share of approximately 20% in all business areas (retail, corporate and wealth management).
The Group has a selected presence in the countries of Central-Eastern Europe and in the Mediterranean basin, with approximately 7 million customers in 12 countries, through approximately 1,250 branches.
Intesa Sanpaolo has the most widespread international network of all Italian banks: it is present in 35 countries and manages relationships with a network of over 3,000 correspondent banks.
The Group is listed both on the Milan Stock Exchange as well as the New York Stock Exchange and the size of the Group means it is also a member of the most important European indices including the DJ Eurostoxx 50 and the FTSE EUROTOP 100. * As at January 2, 2007

Avv. Marco Cerritelli, Sofia 22 April 2008

I. Intesa Sanpaolo Group – Retail banking presence in CEE and the Mediterranean The Group has a selected presence in the countries of Central-Eastern Europe and in the Mediterranean basin, with approximately 7.5 million customers in 12 countries, through approximately 1,250 branches.

1

ALBANIA Banca Italo-Albanese (BIA) American Bank of Albania (ABA)

2

BOSNIA AND HERZEGOVINA UPI Banka LTG Banka

3

CROATIA Privredna Banka Zagreb (PBZ)

4

CZECH REPUBLIC Prague branch of VUB

5

EGYPT Bank of Alexandria

6

GREECE Athens and Thessaloniki branches of ABA

7

HUNGARY Central-European International Bank (CIB) Inter-Europa Bank

8

ROMANIA Sanpaolo IMI Bank Romania

9

RUSSIAN FEDERATION KMB Bank

10

SERBIA Banca Intesa Beograd Panonska Banka

11

SLOVAKIA Vseobecna Uverova Banka (VUB)

12

SLOVENIA Koper Banka

Avv. Marco Cerritelli, Sofia 22 April 2008

….

END

A Large Coverage of Infrastructure Projects Metronet LUL London

M6 refinancing

Delfluent WWTP

Midland Expressway LTd. Motorway

ELWA Ltd

Northampton grouped Schools Europpass Tolling system

AKA Holding Rt.

N25 Waterford

AWSA - A2 Motorway

N4/N6 Motorway Allington WTE

Infraspeed High Speed Railway

Yorkshire Motorway

APRR - Eiffaire SANEF - HIT ADELAC S.a.s. – A41

Zagreb-Macelj Motorway Pedemontana Veneta Highway

Trezzo WTE

Nuova Romea Highway

ENA - Empresa Nacional de Autopistas

Ancona Motorway Tunnel

Scutvias Motorway

Great Lisbon Motorway Norscut Motorway

Lusoponte Bridge

Lusoscut Motorway

Vicedo

Grande Porto Motorway AMT Madrid Toledo

Zabalgarbi WTE

Madrid Calle 30

Barcelona Tramway

Asti-Cuneo Highway

Scuola di Biotecnologie Torino

Fibe WTE Frullo WTE

CMC – Salerno Reggio Calabria

Messina Bridge

Ospedale di Asolo e Montebelluna

Avv. Marco Cerritelli, Sofia 22 April 2008

Lomellina Energia WTE

Tram di FIrenze S.p.A. DUC Bologna

Terni En.A.

ω

2. Public Private Partnerships Main characteristics and market conditions

Avv. Marco Cerritelli, Sofia 22 April 2008

INFRASTRUCTURE FINANCING

PROPERTY

PRIVATISATION

PPP

PUBLIC SECTOR

Passage from public to private sector

Long term concession to private sector

Public property

COST, RISK E RETURN

Private ownership

QUALITY

Standards established by private owners

The majority of the costs, risks and returns are met by the private owner. The granting Authority pays for the use of the services

Granting Authority establishes standards

Avv. Marco Cerritelli, Sofia 22 April 2008

Public company ownership

Standards established by public company

INFRASTRUCTURE FINANCING

Public Private Partnership MACROECONOMIC RELEVANCE

MICROECONOMIC RELEVANCE

“Converting up-front fixed expenditures into a stream of future obligations”

“Value for money”

Alleviating pressure on public company balances

Improving efficiency in the public sector Avv. Marco Cerritelli, Sofia 22 April 2008

…

PPPs: what they are?

Throughout the European Union and New Europe the decrease of available public resources and the restrictions imposed on the rate of increase of public deficits, have stimulated the search for alternative ways of financing infrastructural projects. Some examples:


Public interest projects developed by public-private special purpose vehicles whose investments are made through the contribution of private expertise and private funds with part of equity funds provided by public shareholders (“Institutional PPPs”).




Projects with an intrinsic capacity to generate profit through income. Public interest projects developed by private owned special purpose vehicles, through the awarding of DBFO concessions. The public sector is the grantor of the concession and sometime will provide subsidies in order to contribute to the funding of the project. The private sponsors will raise debt financing and will provide equity capital.




Projects in which the private concessionary provides a service directly to the Public sector (eg. jails, schools, hospitals) in consideration of a revenue stream (availability fee) owed from the Public sector (“Contractual PPPs”).

Avv. Marco Cerritelli, Sofia 22 April 2008

…

PPP MAIN CHARACTERISTICS AND MARKET CONDITIONS

MAIN CHARACTERISTICS OF PPPs

CRITERIA FOR PPPs







Economically viable for public sector




Financially viable for the Private sector

Risk sharing between public and private sector




Long term relationship between the parties




Appropriate risk and reward balance for public and private sector




Public service and ultimate regulatory responsibility remain in public sector




Public Sector: value for money

FUNDAMENTAL MARKET CONDITIONS

USING PRIVATE SECTOR SKILLS FOR PUBLIC SECTOR SERVICES




Public Sector political commitment/Government partnership







Reasonable project pipeline




Focused, dedicated and experienced public sector team/PPP task force

Contracts for services, procurement of assets

not




Output, not input, specifications




Payments related to service delivery




Clear legal and institutional environment




Whole life approach to design, build and operation




Robust, transparent procurement




Realistic risk sharing/Sensible risk allocation

Avv. Marco Cerritelli, Sofia 22 April 2008

and

competitive

…

PPP MAIN CHARACTERISTICS AND MARKET CONDITIONS

REASONABLE PROJECT PIPELINE

PROCUREMENT PROCESS







Reasonable flow of affordable, viable

Structured, transparent, non-discriminatory and consistent process

and bankable projects Committed, structured and coordinated




Adequate planning and consent process

approach from public sector




Improved public sector understanding




Pilots and pathfinders




Public sector audit




Prioritisation




Adequate




Political will at national level




Ability to manage mix of grants vs.

INSTITUTIONAL CAPABILITY

private sector grants




Dedicated and resourced centre of excellence

Communication




Sufficiently empowered decision-making bodies

RISK ALLOCATION




Use of experienced advisers




Standardised approach







Bankable approach

Development of domestic private sector capacity (legal, financial, technical)




Value for Money Approach




Understanding the meaning of “partnership”







concession/public

works/service

legislation

Avv. Marco Cerritelli, Sofia 22 April 2008

INFRASTRUCTURE FINANCING DISTINGUISHING FACTORS OF PPP… Active participation of the private sector in all phases of the infrastructure project through to the actual provision of the service (daily running); The involvement of the public sector is limited to its role as the principal buyer of this service and regulator of the quality of the services to be provided; Essentially private nature of the finance source (private bonds, equity, bank loans, etc …); Optimization of public sector costs (value for money) is considered throughout all project phases; Part of the risks are transferred to the private sector. ω Avv. Marco Cerritelli, Sofia 22 April 2008

IDENTIFYING AND STRUCTURING A SUCCESSFUL PPP PROJECT PRIVATE SECTOR

GOVERNMENT SIDE
Select suitable projects


Optimise return on investments

 Manage for best value

 Manage project risk

Define objectives structure project begin procurement

Negotiate optimal risk transfer

Establish feasibility; define bidding group; allocate resources

Successful

PPP Project Define a value for money pricing mechanism and performance measurement

Manage risks: construction, supply, operation, finance Define competitive bid; financing strategy; equity investment requirements

Value for money investment

Competitive and profitable bid Avv. Marco Cerritelli, Sofia 22 April 2008

END

3. An overview of the current PPP/PFI deal flow in the European markets

Avv. Marco Cerritelli, Sofia 22 April 2008

CURRENT PPP/PFI DEAL FLOW (TENDER VOLUME BY CAPEX)

2005/2006

€m

%Growth

1. ITALY

25,916

15%

2. GERMANY

15,564

50%

3. GREECE

6,270




4. FRANCE

3,964

65%

5. BELGIUM

3,635

6. SPAIN

2,931

244%

7. REP OF IRELAND

2,895

93%

8. SLOVAKIA

2,600




9. BULGARIA

2,202




10. ROMANIA

1,808

54%

-71%

Source: DLA PIPER, European PPP Report 2007

Avv. Marco Cerritelli, Sofia 22 April 2008

AGGREGATE CAPITAL VALUE AND PROJECTS COMPLETED IN 2006

ACV €m

Number

1. SPAIN

6,864

19

2. FRANCE

2,631

8

3. ITALY

2,410

9

4. GREECE

1,610

2

5. REP OF IRELAND

1.036

4

6. AUSTRIA

800

1

7. POLAND

660

1

8. FINLAND

300

1

9. GERMANY

278

8

10. CROATIA

249

2

Source: DLA PIPER, European PPP Report 2007

Avv. Marco Cerritelli, Sofia 22 April 2008

By comparison, in the UK the aggregate capital value of projects completed in 2006 was € 9,895m representing 53 projects (Source: Uk Treasury)

END

4. The role of banks and leasing companies in infrastructure financing

Avv. Marco Cerritelli, Sofia 22 April 2008

THE ROLE OF THE BANKS (ADVISER, ARRANGER, UNDERWRITER) Project funding

Adviser

Lender

Risks Allocation

COMMERCIAL CONTRACTS

(construction, o&m, etc.) TERM SHEETS

(Main Terms and Conditions)

Arranger

Underwriting

FINANCING CONTRACTS (financial & security)

Underwriter Avv. Marco Cerritelli, Sofia 22 April 2008

Conditions precedent assessment

SYNDICATION AND THE CREDIT PROCESS

END

Risk Management Internal RATING

Syndication package Analysis of:

(i) Information Memorandum (ii) Due Diligence reports (iii) Financial Plan

Risk Adjusted Return Over Capital Credit Committee Report

Credit Committee approval

(iv) Term sheets

Project Documentation Final commitment

Analysis of:

(i) Commercial Contracts (ii) Financial Documents

Avv. Marco Cerritelli, Sofia 22 April 2008

Preliminary commitment

5. The raise of financial investors

Avv. Marco Cerritelli, Sofia 22 April 2008

Between the end of 2006 and the first semester of 2007 the first Italian funds specialised in the infrastructures field have bean created and authorised. Please find herein below some information that may be of your interest. In December 2006 the former Sanpaolo Group launched Fondo PPP Italia (managed by Fondaco Sgr), the first Italian law closed-end reserved fund dedicated to private equity and PPP initiatives. It has been created in 2006 with an initial capital of € 120.000.000, and it raised thereafter € 300.000.000. Target investments concern civil constructions, environment, urban requalification, transportation and public utilities. Fondo Nuove Infrastrutture (as well as Nem SGR) is the fund promoted by Banca Popolare di Vicenza. It was launched in 2006, and its area of intervention is going to be local infrastructures, such as water-waste treatment, harbours, cemeteries, urban requalification. Very ambitious appears to be the raising objectives (i.e., € 2.500.000.000) of F2i, promoted by Cassa Depositi e Prestiti, and which is expected to become in the next three-year period one of the most important players in the infrastructures field. Beside Cassa Depositi e Prestiti, the fund is promoted also by Unicredit, Intesa Sanpaolo and International entities such as Merril Lynch and Lehman Brothers. Target investments of the fund are greenfield and brownfield initiatives, transportation, telecommunications, social infrastructures (such as hospitals, schools, etc.). A specific fund in the infrastructures field is going to be Sistema Infrastrutture (recently set up by the Italian Chambers of Commerce), which has the objective to raise € 300.000.000 funding and to invest about € 20÷ 25.000 per intervention. It will mainly invest in regional and local infrastructures, and will be strongly oriented to greenfield and project finance initiatives. As far as I know, the authorisation from Banca d’Italia is still pending, but its issue is expected very soon, in spring this year

Avv. Marco Cerritelli, Sofia 22 April 2008

END

EQUITER is responsible, under an advisory contract, for sourcing, screening, and monitoring the investments The Fund invests in equity and mezzanine financial instruments in non/limited recourse PPP projects and local public utilities.

Target investments are:

•small and medium size infrastructure initiatives with focus on schools, hospitals, and local government and other public buildings; •company concerning utilities transports, Avv. Marco Cerritelli, Sofia 22 April 2008

or projects local public (energy,local water, …).

6.1

Major criteria for credit assessment:

Risk apportionment and sustainable financial planning from a lender perspective

“Take care to get what you like

Or you will be forced to like what you get” get” (G.B. Shaw)

Avv. Marco Cerritelli, Sofia 22 April 2008

…

SUSTAINABLE FINANCIAL PLANNING

DEFINING A BALANCED FINANCIAL STRUCTURE


The financial structure of PFI/PPP is characterised by high ratios of debt to equity in the borrowing entity (special purpose vehicle or SPV)




The willingness of investors to provide loans is a function of market conditions and the risk attached to the projects, as well as the level of government involvement




Where the income stream to meet interest payment and repayment schedules comes from an availability/capacity charge which is paid by the Public Sector Client, long term investors and financiers wish to be assured that the availability/capacity charge provides a sufficient safety margin to ensure that the SPV can meet its financial obligations. For this reason the negotiation of cover ratios is important in providing a measure of security to loan providers




Increasing competition, growing experience of PFI/PPP projects and the comfort provided by the Public Sector client have reduced the margins attached to the interest rates for such kind of initiatives….




….as well as (sometimes…) the level of financial ratios Avv. Marco Cerritelli, Sofia 22 April 2008

RISK ANALYSIS AND ALLOCATION (the Fitch 5 steps approach)



Identification

Key risks



Contracts & laws Risk Allocation



No simple matrix A rather complicated balance of quantitative (leverage, base case, sensitivities) and qualitative (law, contracts, type of asset) ingredients

Insurance

Guarantees Experience rules Quantify the risks



Benchmarks

Advisers Report Legerage / tenor Review the financing Documentation structure




covenants Long term cash flow projections

Base case Sensitivities

Avv. Marco Cerritelli, Sofia 22 April 2008

NO Satisfactory financial ratio?

YES

RISK ANALYSIS: how do we achieve an effective risk allocation?

Due Diligence Legal Technical

…

Risks Analysis

Financing structure

Risk Matrix

Financial optimisation

…

…

…

Insurance

“Bankability is, as it sounds, the acceptability or otherwise of a project’s structure as the basis of a project financing… ….bankability is an art, not a science.”

Risks Allocation

(Graham D. Vinter) Avv. Marco Cerritelli, Sofia 22 April 2008

…

Principle of Risk Allocation and Risk Management (1)

RISK

ALLOCATION

MONEY…





AND

VALUE

FOR

Risk should be borne by the party, which is best able to control them

Optimal allocation

Complexity – transaction costs

Cost/time discipline

Financing costs

Innovation

Sharing risks is not a goal in itself but a way to achieve efficiency and quality

Completion

as well as to create correct disciplines and incentives to achieve optimal

Optimal lifecycle costs

outcome


There are certain risks that are best managed by the Public Sector and to

seek to transfer these risks would either not be viable or not offer value

for money to the public sector




(i.e. force majeure)

risk

…RISK TRANSFER: REALITY & MITH




Risk trasfer works…up to a certain point!

Risk has a price (value for money ≠ cheapest) Only certainty: assumptions

differ

include

from




Scenario

(i.e risk of long term need for the service)




Weight to common interest to see the asset

in

should

will

law/requirements

(i.e. change change)

analysis

outcome

multiple

components (use multicriteria analysis…) built and operated

Avv. Marco Cerritelli, Sofia 22 April 2008

…

Principle of Risk Allocation and Risk Management (2) ISSUE OF CONCERN TO LENDERS IN CONCESSION FINANCING

KEY FINANCIERS RISKS


Construction













Award concessions fairly

Clarify tax and licencing regimes




Price

Performance







Cost




Operation & Maintanance




Technical issues

Legal and political

Clarify power of granting authorities Provide lenders effective security

Provide government undertakings to lenders

Risk management devices

Market (where applicable)

Demand volume (traffic/users…)

 Pass through and back to back agreements with contractors and subcontractors




Competition/diversion risk

 ring fencing (project company, segregated assets)




Insurance, Inflation, Interest rate, tax








Delay







END

Toll, fare, evasion, delinquency…

Other

 insurance, hedging instruments  indexation and provision for contingencies and contingency funding

Avv. Marco Cerritelli, Sofia 22 April 2008

6.2

Financing requirements and credit enhancement techniques: a lender perspective

Avv. Marco Cerritelli, Sofia 22 April 2008

KEY ISSUES FOR FINANCIERS IN PPP PROJECTS

MICRO       

MACRO

Well defined projects; clarity on output



Legal regime permitting taking of

specification

security and enforcement of contractual

Strong, experienced contractors

rights



Reliable completion undertakings Appropriate allocation of risk reflected



in payment regime High quality predictable cash flows /



low volatility



Alternative service providers in the event of financiers step-in Protection from other adverse events, change in law, force majeure, insurance etc.

  

Political commitment to PPP and to specific projects Competition amongst constructions companies Availability of sercive providers Availability/capacity of long term debt market Availability of project equity Established exit route of equity Transparent procurement process

Avv. Marco Cerritelli, Sofia 22 April 2008

Requirements for financial viability: an outline External

Formalities / security effective at law / enforceability

Possibility to create effective security

Rule of Law & role of the courts

One partnership, many interest!

Reliability of the contractual framework

Internal

Sound project foundamentals (economic rationale)

Key Elements for a successful infrastructure financing Coherence / consistency / coesion / stability

Creditworthiness of the major project parties Avv. Marco Cerritelli, Sofia 22 April 2008

Institutional

Coherent legislative framework

Permits and consents

Political commitment (and grants…)

RISK ALLOCATION AND SUSTAINABLE FINANCIAL PLANNING

END

CASH FLOWS STABILITY AND FINANCIERS REQUIREMENT •

Annual Debt Service Cover Ratio (ADSCR)

•

Loan Life Cover Ratio (LLCR)

•

Project Life Cover Ratio (PLCR)

•

Debt/Equity Ratios

•

Concession tail

•

Sensitivities and stress tests

•

Shape of repayment profile (sculpted, miniperm, balloon, bullet, cash sweep adjustment)

•

Role of the Reserve Accounts (Debt Service Reserve Account; Maintanance Reserve Account…)

Avv. Marco Cerritelli, Sofia 22 April 2008

6.3

The contractual structure

Avv. Marco Cerritelli, Sofia 22 April 2008

Requirements for financing: an outline (2)

The importance of the contractual framework •

Consents, permits, authorisations

•

Shareholders agreement and the sponsors’ contributions

•

CONCESSION AGREEMENT

•

Construction contract

•

Operation and maintenance agreement

•

Supply contract/offtake agreement

Avv. Marco Cerritelli, Sofia 22 April 2008

RISK ALLOCATION AND SUSTAINABLE FINANCIAL PLANNING

MITIGATION OF CONSTRUCTION RISK THROUGH DEDICATED DEVICES •

Turn key, lump sum, fixed price contract

•

Experienced contractors

•

Buffer in construction schedule

•

Completion buffer

•

Joint and several liability (single point of responsibility)

•

Completion Guarantee

•

Liability caps

•

Liquidated damages for delay in completion

•

Advance payment bonds; Retention Bonds; Performance Bonds

•

Warranty periods

•

Direct Agreement

Avv. Marco Cerritelli, Sofia 22 April 2008

END

6.4 The concession agreement:

financing requirements & selected issues

Avv. Marco Cerritelli, Sofia 22 April 2008

Requirements for financiers: an outline THE CONCESSION AGREEMENT •

The terms of the concession should be fixed for the life of the project;

•

there should not be any unduly onerous terms imposed on the project company, e.g. a high level of liquidated damages if completion is not achieved by a fixed date if the project company is unable to pass-through all of those liquidated damages to its own contractor;

•

the grantor of the concession should accept the change in law risk. So, for example, at the very least the concession period will be extended if the construction of the project is delayed because new regulations come into force requiring a re-working of the design or the retrofitting of new environmental protection equipment;

•

the concession period should be extended by any period of force majeure;

•

the concession should not terminate simply because the banks enforce their security;

•

the arrangements for termination of the concession (when permitted) should not be expropriator and any compensation and compensation to which the project company is entitled should always be sufficient to repay the banks (even if the concession is being terminated for default by the project company) Avv. Marco Cerritelli, Sofia 22 April 2008

Requirements for financiers: an outline THE CONCESSION AGREEMENT •

on an enforcement, the banks should be able to freely transfer the concession to a third party; step-in rights provisions properly drafted and enforceable;

•

“financial balance” clause;

•

payment/indemnity provisions in case of contractual default by the public authority and revocation of the concession due to reasons of “public interest”;

•

payment/indemnity provisions in case of termination for breach of contract attributable to the concessionaire

•

as an additional tool of credit enhancement, the terms of the concession must provide that any amount to be paid to the concessionaire in case of termination/revocation/withdrawal of the concession will have to be applied with priority to satisfy the claim of the lenders of the project. As an additional security for financial institutions, concession agreement must provide that revocation of the concession shall be ineffective until full payment of the indemnification

Avv. Marco Cerritelli, Sofia 22 April 2008

END

7. Lessons learnt: a

comparison with the Italian PPP market

Avv. Marco Cerritelli, Sofia 22 April 2008

EXPERIENCE OF PPP: SOME LESSONS LEARNED

Need for clarity of requirements

Costs of Procurement

Clear understanding 

Of service required



Of the risk transferred



Of the budgetary requirements

Extended bid timetable Costs to public sector and private bidders Examples of failure of bids

Dealing with the public

Political perception – privatisation and managing borrowing Union opposition Profit in contract and refinancing

Recent Policy Emphasis

Avv. Marco Cerritelli, Sofia 22 April 2008

Move towards Long Term Parterships

THE ITALIAN PFI MARKET

2003 Numero

2004 Euro mil.

Numero

2005 Euro mil.

Numero

2006 Euro mil.

Numero

Euro mil.

PF selezione proposte

629

4.114

703

7.245

625

5.762

471

8.259

CCG su iniziativa promotore

100

1.173

138

1127

125

2.838

128

3.708

CCG su iniziativa pubblica

161

3.286

280

1.299

183

2.212

249

1.755

Altre concessioni

233

1.392

345

2.375

506

4.245

364

3.782

Altre procedure

107

606

181

650

260

1.817

124

295

1.230

10.574

1.647

12.699

1.699

16.876

1.336

17.802

Totale

Fonte: www.infopieffe.it Avv. Marco Cerritelli, Sofia 22 April 2008

THE ITALIAN PFI MARKET

8.545.108

9.000.000

7.974.624 7.401.450

8.000.000 7.000.000 6.000.000

5.050.879 4.460.154

5.000.000 3.281.900

4.000.000

2.426.393

3.000.000

1.991.264 1.617.400

1.429.800

2.000.000 1.000.000

1.077.800 364.900

2000

2001

Procedure attivate (art. 19 / 37-bis)

2002

2003

2004

2005

Procedure in corso di affidamento (art. 19 / 37-quater)

Avv. Marco Cerritelli, Sofia 22 April 2008

THE ITALIAN PFI MARKET

2.000

78%

10%

9%

END

4%

100%

62

162 1.500

167

1.000

1742 1351 500

Fino a € 5mio

Da € 5mio a €10mio

Da € 10mio a €50mio

Avv. Marco Cerritelli, Sofia 22 April 2008

Oltre € 50mio

Totale

8. A case-study: the “scuola di biotecnologie dell’Università di Torino”

Avv. Marco Cerritelli, Sofia 22 April 2008

A case study: the “Scuola di Biotecnologie” of the University of Turin

De.Ga. S.p.A.

AEM S.p.A.

SINLOC S.p.A.

Finpiemonte

END

Agenzia del demanio

Altri

Surface rights over land

Equity injection (€ 2.000.000)

€ 13.100.000 project financing Concession Agreement

Università

€ 5.050.000 grants facility

BANCA OPI S.p.A.

Società di Biotecnologie p.A.

di Torino (1) Grants

Debt Service

(2) Availability payments

SANPAOLO IMI S.p.A.

Management agreement

Scuola di Biotecnologie

Hedging Agreement

Construction Contract

De.Ga. S.p.A. Avv. Marco Cerritelli, Sofia 22 April 2008

O&M Contract

AEM S.p.A.

Account Bank

Contacts

Viale dell’Arte 21 – 00144 Roma

Fabio Vidoni Head of Lesing Phone: +39 06 5959 2367 Fax: + 39 06 5959 3665 Mob. + 39 335 7525211 E-mail: [email protected]

Filippo Granara

Marco Cerritelli

Head of Project & Infrastructure

Head of Legal Structured Finance

Fax: +39 06 5959 3665

Fax: +39 06 5959 3665

[email protected]

[email protected]

Phone: +39 06 5959 3613

Phone: +39 06 5959 2248

E-mail:

E-mail:

Avv. Marco Cerritelli, Sofia 22 April 2008