VCE Summer Internship Program 2021

Financial Modelling ( Infra )

MODULES and TASKS

Introduction

The objective of this program is to make the finance students understand the long term infrastructure
financing with equity and non-recourse debt. The interns need to understand the basics of project finance
with financial modelling and analysis. This will be used for calculation of equity IRR, DSCR and DCF
Valuation of Infra Projects.

Instructions for Smart Task Submission

Please go through the module and the smart tasks and perform web research on each and every terminology.
You can use Google / YouTube / Investopedia / Wikipedia and other web tools / websites to gain the
knowledge and then try to answer the smart tasks in your words only.

The smart task needs to be answered in MS Word / Google Docs / PDF and should be submitted in the Task
Submission Window ( Link ).

If you have any doubt / concerns related to this program, then please feel free to contact Miss Anshu
Malhotra ( Finance Internship Coordinator ), she did three internships along with major projects in finance
and investment analysis at VCE. You can contact her on Call / WhatsApp +91 97739 54276 ( 9am to 6pm of
working days ), Telegram : @anshu1179 or can email her on finance@techvardhan.com .

Your mentor in this program is Mr. Ashish S Kumar, he is CEO and Lead Consultant at VCE having 12
years of industry / corporate experience in financial advisory. You can contact him on WhatsApp
+66972151276 Telegram : @ashvyom

Learning References ( Please Watch the videos and Links )

https://youtu.be/X-4u55CNa1g https://youtu.be/KBhREhTe82Q https://youtu.be/BNKyFjs19SM

https://youtu.be/mbjnlycN_V0 https://youtu.be/wCnDbORnHQk https://youtu.be/-ivpFNCU4CY

https://youtu.be/8sKjMygDl84 https://youtu.be/po1WEsw78wY https://www.youtube.com/watch?

v=QvxnwFcf7mI&list=PLvEQ9cmd
1sRWMWMt1zCj--FEhos83ML8i

https://techvardhan.com
 VCE Summer Internship Program 2021
Financial Modelling ( Infra )

Module-1 : In this module, interns need to go through the basics of Project Finance and Non-Recourse Debt. How it's
different from Corporate Finance. What are the eligible sectors for project finance and why? All other relevant
information and terminologies related to Project Finance. They need to prepare a list of 20 new terms that they learned
and understand in this module.
Smart Task 01

1. What is Finance? How is Finance different from Accounting? What are important basic points that should be
learned to pursue a career in finance?

2. What is project finance? How is project finance different from corporate finance? Why can’t we put project
finance under corporate finance? Define 20 terminologies related to project finance.

3. What is non-recourse debt / loan? What is mezzanine finance explained with an example.

4. Explain in detail with reasons of what the sectors are or which type of projects are suitable for project finance?

Module-2 : In this module, we will provide a simple financial model of a project having individual equity and non-
recourse debt. The intern needs to analyze the model and understand each applicable calculation on respective sheets.
Smart Task 02

1. While preparing a financial model what are the assumptions we need to take. Please list down the list of
assumptions with the values, assuming the project will be set up in India.

2. Explain the function of revenue, cost and debt sheet of the financial model.

3. Explain in detail the various steps involved (with the importance) in the fin flows sheet. Why and what the
bank needs to check before financing the project.

Module-3 : In this module, the intern needs to understand the revenue models of all the different sectors/ projects
where project finance is feasible. The revenue detailing along with the rationale of project finance should be analyzed.

Smart Task 03
1. How a new venture is assessed to qualify as project finance. What are the factors that needed to be considered?

2. Explain in detail the revenue model ( process of generating revenue) for Solar PV Project, Residential Building,
Manufacturing Unit and other PPP projects.

3. What should be the additional points that needed to be included in a financial model, if the financing bank is
from abroad and the debt is in US$ but revenue is in INR.

Once you completed all these three tasks then you need to complete the internship completion formalities.
Please check the other sheet in this folder.

https://techvardhan.com