At Rochford Capital, we bring deep expertise in managing the complex financial risks inherent to the infrastructure sector. With a proven track record of partnering with infrastructure funds, developers, and operators, we understand the unique challenges this industry faces and deliver tailored solutions to safeguard financial stability and enhance performance.
Infrastructure
Challenges in Infrastructure Finance
Interest Rate Volatility
Infrastructure projects are typically financed with substantial debt. Rising or unpredictable interest rates can significantly impact project feasibility and returns.
Foreign Exchange (FX) Exposure
Projects involving cross-border investments or supply chains are exposed to currency fluctuations, which can erode profitability.
Liquidity and Cash Flow Management
With long lead times and irregular revenue streams, maintaining liquidity and optimizing cash flows can be complex.
Covenant Compliance Risks
Market movements can strain financial covenants, jeopardizing funding arrangements.
Project Lifecycle
Modelling of the risk profile of a project as it moves from development through to operation and maintenance
Stress Testing and Scenario Analysis
Modeling the financial impact of rate changes and currency movements on projects, helping you prepare for uncertainty.
The infrastructure sector is characterized by long project horizons, significant capital investments, and reliance on both debt and equity financing. These factors make effective risk management critical.