Ann: DEL Multi-Project Funding Partnership with Palisade Impact, page-11

DEL will in the end own 50% of the VIC1 and SA 1 SPV. So in my earlier post I asked the question it will be interesting to see what DEL have to give up - the answer is 50% of the SPV ownership.
Palisade will own the balance.
Interest will be paid to Palisade from the CFADS waterfall as their sub-note ranks higher than DEL's interest.
The residual cash flow to equity from the VIC1 and SA1 SPV's will be split 50/50, each respectively to Delorean Corporation and Palisade Impact.
Palisade Impact then has a second bite of the cherry owning some c.40m units of Delorean head stock.

On balance I like the deal, but DEL has had to give up quite a bit here. Better than no finance at all.
I like that Palisade have a board seat - this improves corporate governance and it also protects Palisade's investment.
Palisade now also have a blocking stake at the Delorean Corporation level - smart move.
It underwrites future pipeline (3 projects) - ROFO has been established
It allows for a refinancing event once construction is complete - this can release equity to DEL and Palisade. Clearly banks could not get their head around the risk profile of this asset class (at lease for now).
I like the long term nature of the O&M/delivery contracts that DEL have negotiated - so whilst they might loose some of the equity cash flow - they will retain income from the long dated nature of the O&M/FM contracts. These contract payments rank ahead of Palisade!

Switch now quickly shifts to execution of the projects.

Who is managing construction?
Is the team in place? etc.