PROJECTS
Alinta Energy Debt Valuation, Australia
The problem
A US-based investment fund was uncertain of the fair value and risks associated with the debt it was considering purchasing from a distressed Australian energy business—Alinta Energy.
How we helped
Castalia advised the investment fund on the regulatory and market assumptions that should be fed into the debt valuation model. We helped the investor consider different scenarios and establish the price it would offer for a portion of the debt. Our analysis helped confirm that, despite being in breach of debt covenants, Alinta’s debt had greater value if the company remained a going concern than if it was liquidated.
Impact
The client considered our recommendations and the price for debt that Alinta was being offered by other investors and decided not to proceed with a purchase of a portion of Alinta’s debt.
How can we help you?
How can we help you?
WASHINGTON, DC
+1 (202) 466-6790
1747 Pennsylvania Avenue NW, Suite 1200
United States of America
SYDNEY
+61 (2) 9231 6862
Suite 19.01, Level 19, 227 Elizabeth Street
Australia
AUCKLAND
+64 (4) 913 2800
Sinclair House, 3 Glenside Crescent
New Zealand
WELLINGTON
+64 (4) 913 2800
Level 2, 88 The Terrace
New Zealand
PARIS
+33 (0)1 85 64 10 22
3B Rue Taylor
France
BOGOTÁ
+57 (1) 508 5794
Calle 81 #11-08, Piso 5, Oficina 5-121
Colombia
Thinking for a better world.
WASHINGTON, DC
+1 (202) 466-6790
1747 Pennsylvania Avenue NW, Suite 1200
United States of America
SYDNEY
+61 (2) 9231 6862
Suite 19.01, Level 19, 227 Elizabeth Street
Australia
AUCKLAND
+64 (4) 913 2800
74D France Street, Newton South
New Zealand
WELLINGTON
+64 (4) 913 2800
Level 2, 88 The Terrace
New Zealand
PARIS
+33 (1) 73 44 26 97
6 Rue Duret
France
BOGOTÁ
+57 (1) 508 5794
Calle 81 #11-08, Piso 5, Oficina 5-127
Colombia
Thinking for a better world.