Conducting Portfolio Due Diligence Study for Leading Fund Manager

Situation

A leading fund manager focused on renewable energy, energy transition and sustainable infrastructure saw an opportunity arose for the combined acquisition of six anaerobic digestion (AD) plants and six composting facilities located in the East of England and Isle of Wight.

Solution

Anthesis was commissioned to support to deliver:

• Detailed site assessments of the AD plants to assess the conditions of the asset and the day-to-day operations.
• Assessment of process design and plant operations. Interviews with key stakeholders to gain insights into the business practices and operations.
• The financial model was assessed to highlight inconsistencies in the inputs as well as in the modelling approach.
• A review has been carried out to highlight the site constraints to future expansion and further development.
• Overview of the policy landscape and future market dynamics for the AD sector.

Impact

Building on the condition survey and operational assessment, an assessment of the key technical and commercial areas material to the valuation process was carried out, bringing forward quantifiable adjustments to be used for negotiation.

Leveraging on more than a decade of experience in AD plants design, construction and operation, the lifecycle maintenance and capital plans have been reviewed and adjusted to suit our Client plans and aspirations.

Key opportunities for further development of the portfolio have been identified outlining the primary drivers and constraints of each opportunity.