When it comes to the acquisition or development of energy and/or alternative/renewable energy projects, Solomon is uniquely qualified to assist its clients and potential investors by providing a variety of due diligence and transaction support services that are based on real-world operational performance data. Our experience conducting due diligence assessments spans all types of energy facilities located around the world.
The services we offer—which include Pre-Acquisition, Transaction, and Post-Acquisition Support—extend well beyond the technical due diligence required to examine the asset. Our inventory of industry best practices combined with the experience and expertise of our consultants, averaging approximately 25 years of industry knowledge across a wide range of industries and technologies, allows Solomon to critically evaluate the operational performance of the facility/project and identify pitfalls and upsides with confidence. Solomon can also utilize its world-class benchmarking tools and databases—Refining, Chemicals, Pipeline, and Power Generation CPA benchmarking, NCM³ performance improvement services, Q1 Day 1 services—to perform deeper assessments of the asset and its equipment classes. In addition, Solomon has access to an extensive equipment breakdown database and technology experts within our parent company—Hartford Steam Boiler Inspection and Insurance Company (HSB IIC)—the world’s largest equipment breakdown insurer.
Solomon brings unparalleled depth and breadth to the due diligence process by combining real-world performance data with hands-on operational and equipment expertise. Our consultants know what “good looks like” and provide valuable advice to potential buyers at every stage of the transaction, regardless of whether it is acquisition of an existing facility or an investment into a new facility.
Existing Facilities
• Electronic Data Room Reviews
• Site Visits – equipment and facility inspections, records review, management interviews
• Review of Plant Performance – expert opinions and comparison to performance
benchmarks and industry standards
• Review of O&M Budgets/Financial Performance – extensive knowledge of plant labor, materials, routine
maintenance spending, major maintenance spending, and future budgets
• Preparation of Information Requests – clarify discrepancies or gaps in documentation
• Financial Models – review of models, development of assumptions for models, cash-flow pro forma
• Identify Risks and Upsides – areas of insufficient investment or over-spending
• Benchmarking Performance – CPA
• Performance and Profit Improvement – NCM³
New Investments
• New Technology Evaluations – desktop, pilot plant, risk analysis
• Development of Performance Targets/KPIs – margins, operations, energy efficiency, CO2 emissions,
maintenance, overall management
• Organizational Design Advice – headcount, structure
• Development of O&M Budgets – labor, materials, routine maintenance, major maintenance
• Financial Models – review of models and development of assumptions for models, cash flow pro forma
• Capital Project Execution Review – best practices evaluation of developer’s proposed project plan
(design, engineering, construction, start-up, commissioning)
• Benchmarking New Plant Design – using Solomon’s CPA databases to analyze expected plant performance
in all major dimensions (Q1 Day 1)
