KF Finance as financial advisor for the "Second track of Divača-Koper railway line" project

In 2020, KF Finance d.o.o. was selected, on the basis of a public tender, as financial advisor for the preparation of the "Divača-Koper Second Rail Track project". As part of this tender, an amendment of the investment program and the feasibility study for the Divača-Koper Second Railway Track project was prepared. Additionally, we have provided advisory services and supported the company with the selection and implementation of an optimal hedging strategy for interest rate risk mitigation.

The "Second track of Divača-Koper railway line" is one of the main priorities for improving the competitiveness of the Slovenian railway network within the framework of the Resolution on the national transport development program in the Republic of Slovenia for the period up to 2030 (ReNPRP30).

As part of the project, we have prepared calculations of the financing needs and a detailed financing plan for the project. The project will be financed through a combination of different financial sources, including a capital injection from one or two countries, EU grants and bank loans. In addition, our work included the preparation of financial analysis to assess the project's profitability and eligibility for EU support, to determine whether the company 2TDK, responsible for the implementation of the project is financially sustainable and to calculate the return on the national contribution from the equity investors. Finally, the financial analysis also served as the basis for the calculation of the socio-economic benefits and costs on which the economic analysis is based.

The full document is available at the following link (only in the Slovene language).