Technical Due Diligence, Merger Implementation Planning, Italy

Seaport completed a due diligence and a CAPEX forecast project for Euroports on the attempted merger and acquisition of a major operator in the Port of Venice. The technical and operations assessments covered general cargo, agribulk and industrial bulk terminals including associated infrastructure and equipment, and provided inputs into the Cleint’s short and long-term business development planning within the port.

Technical inspections of the infrastructure covered the quays, warehouses, silos and yard storage areas. Equipment assessments included the shore cranes (fixed and mobile), various yard loaders, forklifts and conveyor systems. In course of the technical assessment Seaport focused on the current condition, use history and maintenance records of the equipment and infrastructure, and developed an estimate of their future service life spans, specific maintenance requirements and maintenance cost forecasts.

Operations assessment included an overview of the terminals’ footprint development, cargo handling and traffic arrangements, and spatial growth potential. On the terminal level, the capacities and utilisation levels for various infrastructure and equipment have been analysed. Evaluated capacities have been compared to the available cargo forecasts and options for the capacity expansion have been explored.

The terminals layouts, operations and equipment rearrangements have also been considered in the aspect of the potential merger into the wider Eurports operations in the Port of Venice. Consolidation of the activities by the product, consolidation of engineering facilities and potential consolidation of the gatehouse facilities have been analysed. This evolved into a long-term CAPEX plan for the maintenance, replacement, and expansion or development of the assessed terminal businesses.

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