al abid basis to develop buyout-rehab-exit strategy
proposed term sheets
regulators
stock exchange
secp
sponsors
market/non document debt
institutional creditors
shareholders strategy
approach regulators for preferential treatment
?
projected dividends during rehab period for sponsors
what it will be?
push sponsors into buyout vehicle as preferred shareholders at the same discounted rate
in case sponsors are young, or sponors 2nd generation is keen to buy back, we adopt a different strategy whereby we reduce/skip dividend payouts during rehab period - as we target capital gain & reinvestment of resources
outgoing sponsors if over 55 years, are most likely to look for steady income stream rather than eyeing taking over the company & run all over again
i will evaluate sponsors age & mindset to visualize probabilities as to what they may decide on maturity
formal buyout
tax benefits in current picture
projected tax holiday situation
35% tax of haircut
rehab to do's
tax incentives during rehab period
maximizing shareholders value
securitizing receivables
jackingup/improved leveraging via a-rated customers LC & contacts
income stream
80% exports
working capital budgets
set operational categories
installed utilities evaluation reports & verification of accurate budgetary expenses over next 5 years
plant capacity utilization (workback to verify projected numbers) and/or check capacity utilization level of projected numbers as well as last 3 years actual capacity utilized
really depends on the health of the plant
HR efficiency levels
raw materials, sourcing & mode of payments
leveraging raw materials buying via nonfunded instruments
improved cashflow situation
liabilities
leveraging
basis to propose fair purchase value of debts
60% haircut but a heavy impact of taxes etc
discount factor on unsecured debt in exchange of secured instruments
documented & out of books
OUR SPINOFF VEHICLE
sell out fully packaged business completely to new investors
Preferred one
could be international investors, local pakistani business houses, institutions etc
sell back to sponsors through exchange of shares at a premium
Preagreed Deal?
we as a principle clause in our term sheet, would try to fetch the best price by offering to prospective buyers - however we offer first right of refusal to sponsors
deal would be on market valuation of fixed floor rate whichever is higher
push portfolio to wealth management desk in geneva in the event sponors opt for our retirement plan
share capital strategy
market making
private placement
issuing new shares at discounted rates
projected stockprice & market cap
sharecapital
our proposed injection
out of books assets
details
free float
reserve/uncap or assets revaluation amount
shares outstanding
projected income stream
contracts finalized
advance commitments from major buyers
leadtime to land fresh exports
assets
fixed
current
