Guidance on an Investment Proposal
Definitions in the Northern Australia Infrastructure Facility Investment Mandate Direction 2018 (Investment Mandate) apply in this guidance. Section 17(3)(a) of the Investment Mandate provides that NAIF must publish guidance on its website on the format of an Investment Proposal.
The Investment Proposal is considered to be a Project Proponent’s formal application to NAIF for financial assistance in relation to a Project. An Investment Proposal should address all relevant assessment considerations and provide sufficiently detailed and relevant information to enable the NAIF Board to assess the proposal and make an Investment Decision, being a decision by the Board to offer or not to offer, a Financing Mechanism.
An Investment Proposal should address all relevant requirements outlined in the Investment Mandate and the Northern Australian Infrastructure Facility Act 2016 (NAIF Act) and should include additional information NAIF may require to undertake due diligence and for its Board to make an Investment Decision. The due diligence process involves project, credit risk, environmental and social analysis and other considerations relevant to making an Investment Decision.
An Investment Proposal template is set out below.
The Due Diligence Stage information forms the basis for an Investment Proposal. The information included in the Investment Proposal should be based on finalised and, where appropriate, independently verified versions of due diligence reports prepared by acceptable independent consultants and advisors.
Should Project Proponents require further details on the required format of Investment Proposals, please Contact Us.
Investment Proposal Template
Definitions in the Investment Mandate apply in this Investment Proposal Template.
The Investment Proposal should be provided to NAIF in the format of a comprehensive information memorandum which includes, but is not limited to, the following detailed information sections. Project Proponents should ensure that each of the relevant mandatory requirements and discretionary considerations set out in the Investment Mandate and NAIF Act are addressed, and should complete the table with cross references to the sections of the Investment Proposal where each requirement and consideration is addressed.
The following standardised Investment Proposal format is intended only to provide guidance to Project Proponents on the format of an Investment Proposal. NAIF has the discretion to accept from the Project Proponent an Investment Proposal in an amended or altered format from the template, subject to, and depending on, the circumstances of a particular Project, Project Proponent or Investment Proposal. Should Project Proponents require further details on the required format of Investment Proposals, please Contact Us.
|Guidance on format of an Investment Proposal|
|1. Project Introduction|
|2. Project Proponents, Sponsors and Project Participants|
|3. Project’s Feasibility Studies|
|4. Funding Plan and Capital Structure|
|5. Requested NAIF Support|
|6. Requested Loan Concessions|
|7. Proposed High-Level Term Sheet|
|8. Project Finance Risk Analysis|
|9. Project Risk Assessment|
|10. Project Technical Risk Assessment|
|11. Key Arrangements and Appointments|
|12. Environmental and Social (E&S) Analysis and Commentary|
|13. Project Approval Status|
|14. Industry Assessment|
|15. Compliance with NAIF Mandatory Eligibility Criteria|
|16. Identified Infrastructure Need|
|17. Application of Australian Industry Participation (AIP) Plans|
|18. Australian Government Building and Construction WHS Accreditation Scheme|