Capital Structure Advisory

Flowering Creek Consulting’s Capital Advisory Services help companies raise capital and align capital structure and financing strategy with overall strategic objectives and business drivers. Our team helps companies make informed decisions about capital investments, structures, and merger and acquisition alternatives by providing actionable insights on available capital sources, growth objectives, and potential economic returns. Our Capital and Debt Advisory Services offer guidance on:

  • Capital structure advice: Providing clients with independent and objective advice on capital structure and strategies critical to achieving overall corporate objectives.
  • Private placement advice: Facilitating equity and debt private placements, refinancing, recapitalizations, dividend transactions, and special situations financing

Capital Structure Optimization

What Is Optimal Capital Structure? The optimal capital structure of a firm is the best mix of debt and equity financing that maximizes a company’s market value while minimizing its cost of capital. In theory, debt financing offers the lowest cost of capital due to its tax deductibility. However, too much debt increases the financial risk to shareholders and the return on equity that they require. Thus, companies have to find the optimal point at which the marginal benefit of debt equals the marginal cost.

Discount capture

When you transfer a payment proposal to a payment, the system checks whether discount items need to be applied. In this check, the system accesses the payment target that has been specified for the discount item. The payment target is the date by which a payment must have been executed.

Bond exchange offers

An exchange offer, in finance, corporate law and securities law, is a form of tender offer, in which securities are offered as consideration instead of cash. In a bond exchange offer, bondholders may consensually exchange their existing bonds for another class of debt or equity securities.

Maturity extensions

Maturity Extension Option means the option to extend the Maturity Date of a CD to a later date set out in the Issue Terms that may be exercised by the Bank in accordance with Condition 8 titled "Maturity Extension".