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Babcock & Brown's North American Energy Group ("B&B Devco")
Background
  • Babcock & Brown's parent company ("B&B") is facing financial liquidity issue

  • Large development pipeline across the United States and Canada

  • Difficulties in raising construction and project financing, given the global economic condition and B&B's financial liquidity issue

  • Highly experienced development team; however, difficulty in maintaining key management and staff given the uncertainty of B&B's ability to continue to fund the ongoing expenses

  • Challenge in the restructuring of a Turbine Supply Agreement ("TSA") with a large supplier

Marathon Capital Process
  • We represented Babcock & Brown as its exclusive Financial Advisor/Investment Banker.

  • We managed and conducted a highly targeted sales process involving buyers who have the financial wherewithal and ability to close transaction.

  • We assisted management in presenting the company's competitive advantages, values and management skills to a select group of potential buyers.

  • We received multiple bids and Term Sheets from potential investors; advised B&B in evaluating the bids and selecting the exclusive bidder.

  • We managed the due-diligence process utilizing a virtual data-room.

Outcome
  • Energy transaction closed with Riverstone Holding LLC. in June 2009 for an undisclosed amount.