Financial Advisory

Financial Advisory

 

PFA has worked directly on behalf of private companies seeking debt and equity financing from export credit agencies, grant making agencies, private sources of capital and funds for purposes of privatization, restructuring or start-up capital.  PFA’s consulting work dovetails with financing efforts as in the identification of strong development opportunities for international finance institutions.

Case Study

PFA structured and arranged a new facility for 3M for a proposed $200 million trade receivable financing vehicle using commercial bank debt and credit enhancement through political risk insurer, COFACE.  The purpose of the vehicle is to increase sales in Sub-Saharan Africa, Russia and Eastern Europe where activities are currently hampered due to inadequate financing arrangements.  Of particular interest are.  PFA successfully negotiated a trade receivable credit risk rating program through COFACE and then integrated the use of the program with 3M’s internal credit guidelines.  The COFACE program is in place and 3M expects to be negotiating dedicated lines of credit with multilateral agencies to further grow emerging market sales within 3M.

 

PFA’s work was significant and represents a first time use of third party debt for 3M in order to augment emerging market sales.  PFA applied state of the art innovative financing techniques for 3M in the designing and implementation of the program.