Selected Key Assignments

Malaysian Consortium (MC) lead by an Investment Holding Co, Tenaga Nasional Berhad and Malakoff Berhad (Corporate Finance Advisory, 2005)

BinaFikir was financial adviser to the MC in its successful bid to develop a 900MW power and 880,000m3/d (194MIGD) power and desalination plant located 110km south of Jeddah. The project value is estimated to be in excess of US$ 2 billion.

The successful bid is a major milestone as it represents the first major privatisation project in the Kingdom of Saudi Arabia and the first major desalination plant to be developed by Malaysians globally.

Our role included assisting the MC to identify and assess the key risks for the project and recommend solutions on how risks can be mitigated. BinaFikir also advised the outline of financial structures to address potential differences in risk/ reward preference of the Malaysian parties in the MC vs. the foreign equity partners to the project. BinaFikir also advised on the ownership structure of the MC, including potential vehicles to be used, bearing in mind governance issues and legal and tax implications raised by the other bidding consortiums.