Financial Transaction Support
Working With Investors and Lenders

LAI understands the needs of the investment community in power and fuel–related mergers, acquisitions and divestitures. We do more than prepare detailed revenue and expense projections – we provide valuable insight into the market dynamics that affect commodity prices, trade positions, and asset values. LAI has conducted extensive due diligence on generation and transmission assets. We have been on both the buy and the sell side of renewable, fossil, and nuclear generation asset transactions. Our consultants provide clients with valuations of storage and pipeline entitlements and merchant transmission lines to support natural gas and power deals. We provide market insights and quantitative analysis that help clients gauge the potential for earnings enhancement or dilution associated with mergers or acquisitions.

LAI's integrated suite of modeling tools allows investors to ask "what if" questions and to stochastically test uncertain inputs to derive risk-adjusted financial outlooks and valuations. We identify and evaluate the underlying financial implications associated with power contracts, fuel arrangements, and emission allowance contracts. Our forecasts of electricity, fuel, and emission allowance prices, coupled with our outlook on anticipated regulatory developments, provide clients with a clear view of the market conditions that determine asset values and financial performance over the appropriate time horizon.

LAI's support services for investors and lenders include:

Commodity price forecasts
Projections of power plant and portfolio revenues, operating expenses, and EBITDA
Enterprise valuations under alternative operating and regulatory scenarios, including game theory underlying different capacity market paradigms
Due diligence evaluations of physical and financial assets
Marked-to-market valuations of contracts and trading positions
Assessments of the impacts of fuel costs, generation technology improvements and pollution control strategies on financial and operating performance
Practice Areas
Competitive Power Solicitations
Market Design & Resource Adequacy
Regulatory Economics & Litigation Support
Transmission Assessments
Gas Supply & Pipeline Infrastructure
Financial Transaction Support
Wind Energy Advisory Services
End-User Electricity & Fuel Procurement Advisory Services
Clean Power & Carbon Management

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