Ie Wind Venture Business Plan
Transcript of Ie Wind Venture Business Plan
WindVenture
Inves.ng In Green: A Renewable Way To Help Recovering From An Earthquake
Executive Summary • WindVenture is a renewable energy company aiming to help the economic recovery of the area
around l’Aquila, harshly hurt by the earthquake of 2009.. • WindVenture propose a project that is:
• profitable for both investors and local community • contribuCng to a clean environment • with a 16% IRR
• WindVenture will take care of two key ac.vi.es: 1. Fundraising, managed by a team with exper.se in private equity, consultancy and entrepreneurial ventures
2. OperaCons, managed by an industrial partner ac.ng as the General contractor and managing the project down to the smallest detail: o pre-‐authorized land purchase o wind mills & all required equipment and machines supply o plant installa.on and maintenance
• Our Target investors are mainly ins.tu.onal, industrial or private equity investors looking for a sure and quite sa.sfactory IRR who desire to both diversify their porLolio while contribu.ng to the world’s legacy with a green investment.
• Total iniCal investment is 13 million € to be financed through 20% equity and 80% debt • The risk of the project is medium-‐low: 80% of the revenue stream is given by incen.ves guaranteed
for a 15 years period • The exit strategy for investors would be through sales of shares to other investors or sale of the en.re
plant to a bigger company
Project Team
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Laura LaurenCni
Financial Manager Degree in Business
AdministraCon
Luca Pegurri
Technical Supervisor Electronic Engineer
YuLin Celine Chu
Market Analysis Bachelor of Business in
InternaConal Trade
Masataka Matsuyama
Business Development Diploma in InternaConal
RelaCons
Francesco Paolo Toscano
Project Manager Electrical Engineer
Agenda
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Intro
Business Model & Project Analisys
Financials
Agenda
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Intro
Business Model & Project Analisys
Financials
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Market Trend & Industry Profitability (1/2)
• Different growth rates and maturity stages • All technologies have potential for major capacity additions
Very high Hydro
Wind
High
Medium (c-SI) Low (Thin Film)
Geothermal
Solar Low
Very high Biomass
TOTAL
Solar PV Concentrated solar power
Source: Enel estimates based/WEO 2008/GWEC 2008 (2008); Industry reports/McKinsey (2020)
Market Trend & Industry Profitability (2/2)
Financial a[racCveness... ...investment benchmarking
(100€ invested, end of 2005)
0
25
50
75
100
125
150
175
200
2005 2006 2007 2008 2009 2010
FTSE MIB
Industry -‐ Energy
WindVenture
Bond (20 y)
Eur
Geo
Biomass
Wind on-‐shore
Hydro
CSP
Solar PV
Wind off-‐shore
IRR return (u
nlevered
a_er ta
xes)
PotenCal Capacity AddiCon (2008-‐2020, GW)
Low High Medium
> 12%
10-‐12%
5-‐10%
The Italian Scenario
Agenda
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Intro
Business Model & Project Analisys
Financials
WindVenture Business Model
We will raise funds from private investors, through small individual investments (average investment of 15,000 €) using both typical and innova.ve channels:
• Our personal network • Social networking • Environmental associaCons
Fund Raising OperaCon
The opera.ons will be outsourced to an industrial partner that will deliver a turn-‐key wind farm. They will manage the following aspects of the project:
• Project financing with banks • Supply of materials • Purchase/rent of a pre-‐authorized site and
plant construcCon • ConnecCon of the plant to the electricity grid
and tesCng for overall efficiency
Site Analisys: Casamaina (Abruzzo, Italy)
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• Annual mean wind spead: 8 m/s
• Ridge height: 1500 m
• Specific Weibull distribuCon of the site
Technical Specifications: Gamesa G52-850 kW
• N° turbines: 12; Height: 52m; Blades: 25,3 m
• Turbine Nominal Power: 850 kW
• Load Factor: 38,57%
Agenda
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Intro
Business Model & Project Analisys
Financials
Project Financials – Revenues, Costs & Financing Revenues
Energy sale + Green CerCficate = € 180 per MWh
Leverage: 80% Debt rate: 5,75% 18 yearly instalments
Costs
Investment Valuation
0,00%
5,00%
10,00%
15,00%
20,00%
25,00%
30,00%
35,00%
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
IRR
Debt
• Debt @ 60% 12,86% IRR
• Debt @ 70% 14,18% IRR
• Debt @ 80% 16,14% IRR
Summary
A[racCveness of the project_______________
• Profitable investment (IRR 16,14%)
• Low risk for the investors
• Economical posi.ve impact on the area