Kenya – Transaction advisory Services for the privatization of Kenya Ports Authority services

The assignment was to provide privatisation transaction advisory services to the Privatisation Commission for Kenya Ports Authority on three (3) transactions consisting of Eldoret Inland Container Deport; conversion of Berth Nos. 11 -14 to Container Berths and advising on the appropriate privatisation option; and Stevedoring Services for Break Bulk Dry General Cargo. For each of the three transactions, we are required to perform the following transaction advisory services:

A: Preparatory Stage

• Prepare a detailed work plan for the implementation of the transactions and undertake the necessary market research.
• Advise and assist the client in developing a strategy for the privatisation for each transaction and structuring the three operations from KPA.
• Assist the client in human resources restructuring plan and transparency procedures setting up.
• Review and prepare legal documents to facilitate transaction implementation and advice on the legal implication regarding implementation to current users of the respective assets.

B: Implementation Stage

• Prepare draft and final bid documents and assist with the pre-qualification process.
• Assist the client in managing a structured transparent interaction process with potential investors.
• Build an appropriate financial model to evaluate each of the three operations and propose a reserve price that will assist the Commission in implementing the transaction.
• Propose and agree with the client on the criteria for evaluating final bids and assist the client in any activities subsequent to the bidding necessary to close the sale process.

In this assignment, we provided four consultants who included a financial specialist involved in the financial analysis, a civil engineer advising on the berths and port facilities, an asset valuation advisor for the valuation of the assets of the three transactions, and a public relations expert providing the PR services for all the transactions