CLIENT: Investment Firm

A credible and defensible valuation to support a minority equity buyout in a wind farm operation, requiring enhancement of the forecast model and preparation of a DCF-based valuation report.

Key Insights

We reviewed and audited the forecast model provided by the majority partner, identifying errors and discrepancies, and refining the model for integration into a robust DCF valuation.

We collaborated with management to validate key valuation inputs, including EBITDA normalization adjustments, end-of-life asset salvage values, reclamation cost obligations, and deferred tax liabilities, while also determining the fair market value of the operating assets as at the valuation date.

We triangulated the DCF-based valuation conclusion by cross-referencing it with the adjusted book value approach, comparable public company trading multiples, and precedent transaction benchmarks to validate the reasonableness of the implied valuation metrics.

Historical and Forecasted Revenues and Gross Profit Margin
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