Factors influencing the equity share of build‐operate‐transfer projects
| Autor: | Alberto De Marco, Xin‐Yu Zou, Giulio Mangano |
|---|---|
| Přispěvatelé: | University of Zurich, Mangano, Giulio |
| Rok vydání: | 2012 |
| Předmět: |
Capital structure
media_common.quotation_subject 2205 Civil and Structural Engineering UFSP13-1 Social Networks Build–operate–transfer Management Science and Operations Research 10004 Department of Business Administration Debt Civil and Structural Engineering media_common Finance Equity risk Actuarial science Project Finance business.industry Project risk management Equity (finance) Infrastructures 1803 Management Science and Operations Research Build-Operate-Transfer Project Management Regression Analysis Risk management Roads 330 Economics Project finance Business Equity capital markets |
| Zdroj: | Built Environment Project and Asset Management. 2:70-85 |
| ISSN: | 2044-124X |
| DOI: | 10.1108/20441241211235062 |
| Popis: | PurposeThe purpose of this paper is to determine the fundamental factors influencing the equity share in build‐operate‐transfer (BOT) investments in relation to the project risk profile.Design/methodology/approachThe relationships between risk factors and equity participation into the capital structure of a BOT contract are examined using regression analysis of a dataset of toll road projects.FindingsResults suggest that the inflation rate, the size of the investment, the construction period, the solidity of the vehicle company, and the organizational structure of the project are significant variables of the equity portion of financing.Practical implicationsThe analysis may support project promoters by providing better understanding of the factors that might facilitate high debt leverages and by providing lending institutions with valuable information to integrate the method of determining the appropriate debt resources to be injected into a BOT project.Originality/valueThe paper contributes towards growing the body of knowledge regarding the way public‐private partnership initiatives are carried over and helps refine the capital structures of BOT projects. |
| Databáze: | OpenAIRE |
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