FOR REAL ESTATE DEVELOPER

Client

An Australia-based Real Estate Developer

Products & Services

• Business Strategy Formulation
• Benchmarking Exercise
• Socio-Economic Assessment

Description of Project

Client

The client is a real estate developer headquartered in Sydney and operates in four regions: Australia, Europe, the Americas and Asia, with an integrated business model -where two or more of the operating segments of Development, Construction and Investments engage on the same project.

Background

The Client has a major investment project in the heart of Kuala Lumpur which involves multiple skyscraper buildings and various contractors for different packages. 

The Client is desirous to award one of the upcoming packages to a local contractor with strong capabilities but at the same time has a diversified political and business network.

Challenges & Expectations

The Client wishes to conduct an independent check on the background and capabilities of the contractor to ensure the company is capable and suitable to take up the construction project.

Our Role on the Project

Scope of Services

Working with our strategic partner RSM Malaysia, our team was tasked to:

• Conduct a cursory financial analysis on the company’s capital structure, major litigation, contingent liabilities
• Conduct peer companies comparison
• Recommend risk mitigation strategies

Solutions/Outcomes Delivered

• Cursory financial & operation review to analyse the ongoing project, back-log, order book and cash flow forecast to assess the financial capabilities of the company to undertake a new project
• Conducted peer companies comparison that looks at the companies which share similar business nature, project experience and scale of business, to assess the technical capabilities of the company to deliver a project that would achieve the Client’s aspiration
• Identified the potential risk areas about the award of contract to the company under reviewed
• Proposed possible key terms, conditions precedence and risk mitigation strategies for the Client to include in the contract