For wind or solar park valuations we usually calculate face values based on our standard discounted cash flow model.
This notwithstanding the fact that we are potentially having fundamental information’s to establish an arm’s length valuation available.
We differentiate between
a) Realized cash flows versus expected cash flows including operating expenses
b) Realized costs of equity versus expected costs of equity
c) The DCF value calculation respectively any other applicable model
e.g. the capitalized earnings value
d) The sensitivity analysis with risk management indicators according to international accepted principles
for the risk management process of offshore windparks with adjustments to onshore
windparks and solar panel parks for the purchasing process.
Paired with the above mentioned methodoloy we calculate static expense comparison, profit comparison, amortizations and profitability.
Dynamically we use the applicable models to calculate the equity value, the internal rate of investment and periodical annuities.
The DCF values are as well calculated based on applicable standards, e.g. IFRS 7 (IFRS 9), German GAP, etc.
For each investment we are writing a valuation and risk management report with our
valuation expert opinion according to EACVA respectively the AICPA standards.
We are member of both the
EACVA, European Association of certified Valuators and Analysts
The AICPA, the American Institut of Chartered Public Accountants.
Learn more about our valuation practices. The principles are well described within the Thesis of one of our collegues while the
other document gives you an impression about the structure of our expert opinion.