Project company
Owns or develops the underlying asset or concession
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Infrastructure
Examine the contract, counterparties, and capital plan.
Infrastructure offerings may depend on long-lived assets, contracted revenue, public counterparties, complex construction schedules, and substantial financing. We examine the relationships carrying the projected outcome.
HOW THE ECONOMICS FLOWInfrastructure
01
Project companyOwns or develops the underlying asset or concession
02
CounterpartiesCustomers, offtakers, contractors, operators, and government entities
03
Capital structureConstruction debt, term debt, preferred capital, and equity
04
Investor cash flowAvailable cash after operating needs, reserves, covenants, and debt service
START WITH THE STRUCTURE
What this kind of investment usually means.
Infrastructure investments can involve operating assets, development projects, concession rights, contracted facilities, or specialized funds. The durability of the investment often depends on counterparties, permits, construction, financing, and long-lived operating obligations.
An infrastructure investment may involve operating assets, development-stage projects, concession rights, energy facilities, transportation, digital infrastructure, or specialized funds. The label alone does not establish revenue durability, completion risk, counterparty strength, or investor priority.
HOW THE ECONOMICS WORK
Follow the path from the underlying activity to investor cash flow.
This simplified sequence is a reading aid. The offering documents determine the actual legal and economic relationships.
Counterparties
Customers, offtakers, contractors, operators, and government entities
Capital structure
Construction debt, term debt, preferred capital, and equity
Investor cash flow
Available cash after operating needs, reserves, covenants, and debt service
TERMS WORTH UNDERSTANDING
Four concepts that can materially change how the opportunity reads.
Definitions are useful only when they are connected to the actual documents, economics, and risks.
Offtake Agreement
A contract governing the purchase of output or capacity, subject to pricing, performance, and termination terms.
Concession
A contractual right to build, operate, or collect revenue from an asset, often for a defined period.
Completion Risk
The possibility that construction is delayed, over budget, or does not meet required performance.
Counterparty Risk
The risk that a material customer, contractor, government entity, or other party does not perform as expected.
WHERE DILIGENCE CONCENTRATES
The asset class changes the evidence that matters.
These are the areas an investor will usually need to connect before relying on the projected return.
Revenue & Counterparties
Contract term, pricing mechanics, renewal provisions, offtake or usage assumptions, customer concentration, and the credit quality of material counterparties.
Development & Construction
Permitting status, construction budget, completion guarantees, contingency reserves, contractor relationships, schedule assumptions, and cost-overrun exposure.
Financing & Capital Needs
Debt priority, maturity, covenants, draw conditions, refinancing assumptions, future equity requirements, and the consequences of delayed completion or ramp-up.
Regulatory & Operating Framework
Concession terms, licenses, rate-setting mechanisms, government relationships, maintenance obligations, operating partners, and end-of-life liabilities.
WHAT COULD GO WRONG?
Stress the plan before accepting the base case.
- Permits, construction, or commissioning take longer than planned
- A key counterparty can terminate, reprice, or fails to perform
- Additional capital is required before steady operations
- Debt covenants or reserves restrict distributions
QUESTIONS FOR THE SPONSOR
01Which contracts support projected revenue, and when can they be terminated or repriced?
02Who bears construction delays, cost overruns, or performance shortfalls?
03What additional capital could be required before the asset reaches steady operations?
04How do debt covenants and reserves affect distributions to investors?
DOCUMENTS TO REQUEST
The supporting file should match the investment being offered.
Alongside the core offering documents, useful materials may include material customer or offtake agreements, concession documents, permits, engineering reports, construction budgets, financing commitments, operating agreements, feasibility studies, and third-party market reports.
The PPM, Subscription Agreement, Operating Agreement, and sponsor marketing materials remain the usual starting set.
Read across the documents
Fees may appear in one agreement, distribution priorities in another, and the assumptions behind the return in a separate model. Compare the sources instead of reading each in isolation.
RESEARCH ON AN ACTUAL OFFERING
DealIQ™ applies this framework to the opportunity in front of you.
Investorly examines the offering, sponsor, Four P’s, source support, material inconsistencies, and open questions, then delivers the work in one written report.
$1,500one opportunity
within three business days after complete documents
Start Your Researchwithin three business days after complete documents
Research Scope
The review does not replace engineering, environmental, construction, insurance, regulatory, or legal diligence. Technical reports and contractual protections may be incomplete or subject to qualifications that require specialist review.
Does a long-term contract make infrastructure revenue predictable?
A contract may improve visibility, but termination rights, pricing adjustments, counterparty credit, performance obligations, and operating costs still affect the economics. DealIQ examines those terms without guaranteeing revenue.
What if a document is missing?
Investorly identifies the gap and confirms whether the work can proceed within a clearly defined scope. Unavailable information is not treated as verified.