Given the diminished availability of long term bank debt, future projects need to be structured in such a way as to facilitate access to the capital markets or other sources of long term debt finance. Public sector equity, together with increased levels of private sector equity, will boost the amount of overall equity invested in the company, thereby:
• making the company more robust;
• making it more capable of achieving investment grade rating, and
• making it more attractive to a broader range of long term debt providers including institutional investors such as pension funds and life insurance providers.