We focus on the project's bankability right from the start
We collaborate with our project stakeholders to avoid pitfalls that can jeopardise project success and help to reduce the gap between project development activities and financial closing through best in class project development practices and the evaluation and mitigation of project risks.
Focusing on bankability of a project allows stakeholders to realise their project vision and access financing more efficiently and by supporting investors and financiers to build stronger renewable energy project portfolios that generate robust returns.
Best practices in project development, best-in-class team
Grokas employs time-tested and proven practices in project development. Our team has a proven track record in developing renewable energy projects of various scale in Europe and emerging markets. We partner with the best-in-class professional firms around the world to provide you with the legal, finance and regulatory compliance prowesses that the project requires.
The right financing structure for financial closure
The majority of the projects that we have worked on are funded on a non or limited-recourse project finance basis where a special purpose vehicle is established to ring fence the project revenues and debt liabilities. For project finance deals, much of the funding requirement is met through long-term debt, which typically varies from 70% to as much as 90% of the total funding requirement depending on the perceived risks of the project. Debt is a cheaper source of funding than equity, as it accepts a lower level of return in exchange for carrying relatively less risk. Such lending looks to the cash flow of the project as the principal source of security and the cost of the debt depends largely on the project risks.
Grokas creates the right and optimal financing structure for our clients through a combination of factors - risk mitigation, cashflow visibility and duration and quality of the counter-party agreements (production off-takers, feed-in-tariffs contracts).