Business Sectors

COVERING A FULL SPECTRUM OF INDUSTRIES

Synergy’s experience in Public Private Partnership (PPP) programs includes Power (IPPs/IWPPs/IWSPPs), Non-Conventional Power (Hydro, Solar, Wind Projects and Biomass) and Conventional Power (Coal, Gas, Oil, etc.), Water, Wastewater, District Cooling, Transport, Real Estate, Telecom, Education and Health Care

Business Sectors

COVERING A FULL SPECTRUM OF INDUSTRIES

Synergy’s experience in Public Private Partnership (PPP) programs includes Power (IPPs/IWPPs/IWSPPs), Non-Conventional Power (Hydro, Solar, Wind Projects and Biomass) and Conventional Power (Coal, Gas, Oil, etc.), Water, Wastewater, District Cooling, Transport, Real Estate, Telecom, Education and Health Care

Conventional Power

Availability of uninterrupted electricity is critical for the economic development of any region and most countries have undertaken continuous growth in power generation infrastructure to match the projected economic growth. A majority of these power projects globally are fired using fossil fuels like natural gas, fuel oil and coal. Importance of this sector and increasing competition makes this an exciting industry requiring the stakeholders to have a complete understanding of regional precedents as well as global benchmarks to provide comprehensive support on transactions.

Synergy is a leading financial advisor in the power sector providing financial advisory services across MENA, Sub-Saharan Africa and Asia. With our extensive experience in advising various governments, public and private sector organizations on power sector reforms, we have supported our clients in development, negotiations and finalizations of commercial framework for IPPs and IWPPs.

Project bid advisory, structuring, arranging debt and equity financing, due diligence for mergers and acquisitions of power assets and debt restructuring are the core service areas where we enhance value for our clients. These services are augmented with our team providing our clients market insights through all stages of power project development, supporting them in making critical strategic and commercial decisions resulting in value enhancement for all stakeholders.

Synergy’s strong experience in conventional power sector is marked with a successful track-record of providing seamless service in the financing and development of power projects.

Key Projects:

  • Facility D: 2,520 MW Gas- fired IPP and Water 136 MIGD, Qatar
  • Shuqaiq IWPP: 850MW Oil-fired and 212,000 m3/day desalination, KSA
  • Shuaibah IWPP: 900 MW Oil-fired and 880,000m³/day flash Water Desalination Plant, KSA
  • RAWEC IWSPP Phase II: 160 MW, 910 t/hr steam and 1,970 t/hr water, KSA
  • Tri fuel project: 240 MW IPP, Jordan
  • Azura IPP: 450 MW Combined Cycle Power Plant, Nigeria
  • Kpone Power Project: 340 MW Combined Cycle Gas fired Power Plant, Ghana
  • Kribi Power Plant: 216 MW Gas fired IPP, Cameroon

District Cooling

A district cooling system comprises of a centralized production and distribution system that distributes chilled water from a dedicated cooling plant to multiple buildings for air conditioning and other cooling requirements. In geographies such as MENA where more than 50% of electricity generated is used for cooling requirements, district cooling systems reduce power demand, save power capital expenditure and produce environmental benefits. In district cooling assignments, our dedicated team of experts delivers comprehensive transaction advisory services to a variety of clientele. Our service offerings include bid advisory, project finance advisory as well as M&A advisory.

Our banks and business relationships include:

  • Almost all major district cooling companies in MENA including Tabreed, Emicool, Saudi Tabreed, NTCC and Qatar Cool
  • Close to 50 commercial banks including local MENA based lenders as well as international commercial banks

Synergy is financial advisor to more than 35 district cooling projects with combined capacity exceeding 2.5 MN refrigerated tons (TRs) across major MENA nations including Qatar, Saudi Arabia, UAE and Bahrain. We are also the financial advisor to multiple buy–side and sell–side district cooling asset acquisition transactions in MENA region.

Key Achievements:

  • Financial advisor to 1st district cooling project in MENA – structured on Build, Operate and Transfer (“BOT”) basis
  • Financial advisor to 1st district cooling project in MENA – financed by 100% non – recourse project specific debt
  • Financial closure of multiple district cooling projects in MENA which entail raising more than USD 1 BN in long-term debt (including fresh debt for greenfield projects as well as refinancing of existing debt) from commercial banks

Key Projects:

  • Dhahran District Cooling Project: 27,000 TR district cooling plant in KSA
  • Jabal Omar District Cooling Project: 55,000 TR district cooling plant in KSA
  • King Khalid International Airport District Cooling Project: 35,000 TR district cooling plant in KSA
  • Burj Rafal District Cooling Project: 6,000 TR district cooling plant in KSA
  • Al Maryah District Cooling Project: 100,000 TR district cooling plant in UAE
  • Dubai Parks District Cooling Project: 33,000 TR district cooling plant in UAE
  • Lusail District Cooling Project: 200,000 TR district cooling plant in Qatar

Real Estate

Real estate sector has globally proven to be an enabler for buoyant economic activity, and plays an important role in providing necessary infrastructure required for any business. It also represents an attractive asset class for both equity and the debt investors alike. The sector being cyclical in nature, presents a requirement for funds during periods of boom for funding new projects as well as during recession for supporting distressed projects. It has a strong correlation to macroeconomic conditions; being a driver for asset appreciation in growth period and depreciation during challenging economic conditions.

Synergy works with its real estate clients to offer suitable transaction advisory services based on developer needs. Besides advising private developers, Synergy supports public sector clients looking to launch public-private partnerships and private developers looking to bid for such projects.

Key services offered to Synergy’s real estate and construction clients:

  • Debt restructuring and re-profiling (corporate debt restructuring or project financing) for real estate projects/ companies
  • Financial modeling / feasibility studies/ business plans for projects at different stages of their life-cycle; start-up, growth or financially distressed projects
  • M&A advisory (sell-side or buy-side assistance), valuation, transaction support, etc.
  • Fund raising (debt and equity) for various kinds of real estate projects, including hospitality, residential, retail, commercial, industrial projects, etc.
  • Working capital financing for construction projects
  • Assistance in structuring and issuing REITs (as applicable)
  • Bid advisory for PPP projects (housing or other industrial real estate)

Key Projects:

  • Debt restructuring and refinancing (~USD 80 MN) for a mixed-use real estate project in Saudi Arabia – transaction closed in 2016
  • Raising debt for two greenfield use real estate projects in Saudi Arabia (combined value of USD 550 MN)
  • Debt restructuring and refinancing (~USD 75 MN) for a residential real estate project in Saudi Arabia
  • Feasibility analysis to a real estate developer for REITF issuance in Saudi Arabia
  • Bid advisory for Fadhili Bachelor Camp project tendered out by Saudi Aramco
  • Buy-side advisory for acquisition of 50% stake in mixed use real estate project in Dubai
  • Bid advisory for commercial development (hotels, offices, parking) at Riyadh airport
  • Financial advisory for a joint venture between a real estate developer and a healthcare operator for developing new projects
  • Structuring analysis for development of affordable housing projects under the public-private partnership (PPP) basis
  • Financial risk analysis of a real estate developer, to determine internal KPIs to measure financial health and evaluate need for refinancing&

Water

The Middle East and North Africa (MENA) region is one of the most water-scarce regions of the world. The rapid economic and population growth in the MENA in recent decades has significantly increased the demand for water. Governments in the region have allocated large amounts of funds for water projects. Due to the high levels of investment required for such projects, governments increasingly look for participation from private sector as well. Private participation also mobilizes private sector technological expertise and managerial skills in the public interest.

Synergy services in water sector include assisting clients in formulating financing strategy, negotiating with lenders, analyzing contract design, preparing and auditing financial models.

Synergy experience for water projects spans working on more than 500 MIGD of Independent Water Projects in several countries in Africa and the Middle East.

Key Projects:

  • RAF A3 IWP
  • Barka-Sohar IWP
  • Asutsuare Water Project
  • Al Khafji, Desalination and Solar Plant
  • Suweimeh WTP
  • Umm Al Hayman WWTP

Petrochemicals

Rapidly growing global demand for basic chemicals and their products coupled with easy access to hydrocarbon feedstock has driven a massive global readjustment in the chemicals and petrochemicals industry. Large-scale production facilities have shot up in the Middle East and Africa. Keeping this in perspective, Synergy has also expanded its advisory services in Petrochemical Industry.

Synergy has advised clients on some of the leading transactions in this sector in carrying out feasibility analysis, reviewing the contractual framework from a commercial perspective, preparing financial models, analyzing impact of various technical and commercial parameters on project cash-flows, arranging long term financing, negotiating financing term sheet, assisting in selection of lenders, and supporting the client through financial closing.

Synergy was the financial advisor for ACWA Holding and Air Products on the USD 2,125 MN Jazan Air Separation Unit Developed as part of the Jazan Refinery in the Kingdom of Saudi Arabia. Financial close was achieved in June 2015 and upon completion the unit will supply 75,000 tons of gas per day (20,000 tons of oxygen and 55,000 tons of nitrogen) for 20 years to the refinery.

Renewable Power

Renewable energy provides sustainable and clean source of energy for meeting the growing energy demand across the globe. Continuous improvement in technology coupled with steep reduction in generation cost over last few years has attracted the world’s attention towards meeting energy requirements from renewable sources such as solar, wind, geothermal, biomass and small hydro. A renewable energy quota is currently under discussion in various international forums as a potential future policy instrument for clean energy generation, which will enforce that certain fraction of total power generation comes from renewable sources.

Synergy is at the forefront of providing financial advisory services for transactions in renewable power sector, advising clients in renewable power sector across MENA, Sub-Saharan Africa and Asia regions and has played an integral role in the development of over 3 GW of renewable assets across the globe. Synergy has worked on all major solar power projects in MENA region and has complete understanding of regional precedents as well as global benchmarks to provide comprehensive support on transactions.

Synergy has strong relationships with leading international and regional commercial lenders, export credit agencies and development finance institutions that are active in financing renewable projects. This coupled with extensive experience of our team in Renewables Sector provides valuable market insights to our clients. We continuously add value for our client through the development lifecycle of Renewable Power Projects, providing advisory services on tenders, structuring and arranging debt and equity financing.

Synergy successful service track-record for financing and development of Renewable Power Projects has been acknowledged in the industry with MESIA announcing Synergy the winner of ‘Financial Advisor of the Year 2016’ award.

Key Projects:

  • DEWA Solar PV Phase III (800MW), UAE
  • 100 MW NSM Phase II Solar PV, India
  • 50 MW Solar PV Infinity Solar (FIT), Egypt
  • 40 MW Solar PV Plant, Al Khafji, KSA
  • 52.5 MW Shams Ma’an Solar PV, Jordan
  • 114 MW Inka Wind Power Project, Peru
  • 200 MW Wind IPP in USA
  • 100 MW Wind IPP in Nigeria
  • 500 MW Geothermal Power Plant in Ethiopia
  • Olkaria VI – 140 MW Geothermal Power Plant in Kenya

Transport

Transport is a major index as well as a driver of infrastructural development of any economy. With the growing need of transportation across various means, most nations have shortlisted logistic infrastructure as a key area of development.

Synergy works closely with developers in the transport sector to assist them in raising capital and achieve optimized transaction structure. Our expertise in the transport space spans airports and related businesses, roads and railway projects. Our unique selling proposition remains best quality services at highly competitive pricing for our clients. Our relationships at senior levels with debt and equity investors as well as other stakeholders fosters accelerated growth for our clients in all aspects including – arrangement of financing, debt refinancing, equity stake sale or purchase, advisory on bids or negotiations for new projects, business valuation and due diligence.

Project bid advisory, structuring, arranging debt and equity financing, due diligence for Mergers and Acquisitions of transport assets and debt restructuring are our core service areas. Our team has worked for various industries in different geographies. Leveraging on financial advisory experience for large-scale transportation projects, we understand and are equipped to optimize the dynamics to which our clients remain stakeholders.

Key Projects:

  • Debt raising for privatization of Yanbu International Airport in KSA
  • Debt raising for privatization of Qassim International Airport in KSA
  • Debt raising for privatization of Hail International Airport in KSA
  • Bid advisory for privatization of Taif International Airport in KSA
  • Financial advisory for privatization of Saudia Aerospace Engineering Industries (SAEI)
  • Financial advisory for privatization of Saudi Airlines Cargo Company (SACC)
  • Post-acquisition due diligence for Saudia Aerospace Engineering Industries (SAEI) the technical arm of Saudi Arabian Airlines’ maintenance, repair and overhaul business
  • Financial advisory services for the Saudi Landbridge project
  • Financial advisory for business valuation of a transport business operating in the Gulf Cooperation Council
  • Financial advisory for acquisition of 50% stake in dry port project in KSA
  • Financial advisory for corporate debt refinancing for an MRO business in KSA
  • Corporate financial modeling for expansion at SACC facilities in KSA (Riyadh, Jeddah, Madinah and Dammam)
  • Business plan for development of a cargo village at an international airport in KSA
  • Impairment testing of investment made in an air cargo business in KSA
  • Impairment testing of investment made in an MRO business in KSA

Oil and Gas

Oil and Gas sector comprises of many sub-sectors with unique features and unique participants in these sub-sectors. The primary sub-sectors, currently under Synergy focus include upstream gas field developments, Gas-to-Power integrated projects, LNG re-gasification terminals, mid-stream oil/gas processing units.

Synergy with experience in largescale infrastructure projects, provides unique perspective to the developers, lenders and public sector offtakers of Oil and Gas projects. As one of the leading advisors in the power sector, Synergy is able to seamlessly dovetail risk-reward structures between the upstream/midstream projects and downstream projects. Our experts have a long track record of working in the oil and gas sector, with strong relationships with various stakeholders – banks, developers, off-takers, other advisors, etc. Because of our longstanding presence in the target markets, we have in-depth understanding of our client’s requirements and an ability to provide optimal solutions.

We provide innovative financial and structural solutions to ensure a bankable project structure along with the commercial viability of the project. We specialize in providing advisory services for upstream gas field developments, LNG regasification terminals and projects in emerging economies.

We have acted as advisors to public sector offtakers for indigenous gas field developments, LNG re-gas terminals and Gas-to-Power projects. We have also supported private sector developers for upstream gas field developments.

Key Projects:

  • Transaction Advisor to GNPC (Ghana) for the OCTP gas field development
  • Transaction Advisor to a government offtaker in West Africa for a 500 mmscfd FSRU based, LNG re-gasification terminal
  • Financial Advisor to Tullow for the development/financing of gas field in Mauritania

Telecom

The telecom sector continues to be a key enabler for growth and innovation across multiple technology industries. Faced with ongoing disruption across sectors, the key participants of telecom industry have identified, and are taking advantage of, their pivotal enabling role in a digital society.

Synergy has been closely associated with leading telecom infrastructure operators, infrastructure developers and investment houses for acquisition of approximately 16,000 telecom towers from leading mobile network operators (MNO) in the MENA region. The transaction is the first of its kind in the telecom sector across the MENA region. Synergy had provided a wide range of services to its client including valuation of the tower portfolios, arranging credit approved lender term sheets and discussion and negotiation on project agreements (to be signed between MNO and Tower Co).

Key Projects:

  • Acquisition of Mobily telecom towers in Kingdom of Saudi Arabia
  • Acquisition of Zain telecom towers in Kingdom of Saudi Arabia