Difference between Infra PE vs traditional pe modelling

Hi all,

I have a modeling exam and interview coming up for an Infra-focused PE.

For the purpose of passing the test, I was wondering about the difference between infra PE vs traditional PE modeling exam. 

I would like to ask how your experience was. What variables/inputs were you given with? From my understanding the former involves more project finance-focused elements while the latter is more centered around LBO stuff...

For those of you who have gone through recruiting processes, I would greatly appreciate your insights...

5 Comments
 

This might be too high level and I’ll let others answer in more detail.

The biggest differences in infra modeling vs LBO are:

  • time horizon being modeled is longer (10 years +)
  • revenue certainty is higher (long term contracts)
  • value creation comes from operating the asset better / controlling the cost base
 

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