To deliver a high-impact Financial Due Diligence (FDD), The House of Shipping follows an integrated, multidisciplinary approach that combines financial, technical, and operational expertise:
Financial Health & Performance Analysis:
In-depth evaluation of financial statements, cash flow, profitability, and debt structure. Analysis of revenue streams, operational costs, and financial sustainability based on industry benchmarks. Examination of capital expenditures, financing models, and liquidity risk in the context of fleet performance.
Regulatory Compliance & Risk Management:
Assessment of adherence to financial regulations (IFRS) and industry standards (SOLAS, IMO, EU ETS). Evaluation of compliance risks related to sanctions, trade restrictions, and geopolitical factors. Assessment of ESG and sustainability-driven regulatory exposure, including EU taxonomy and green financing eligibility.
Decarbonization Maturity & Financial Impact:
Quantification of decarbonization-related financial risks and opportunities, including carbon credit liabilities and alternative fuel adoption. Review of fleet efficiency and technology investments for regulatory compliance with EEXI (Energy Efficiency Existing Ship Index), CII (Carbon Intensity Indicator), and EU ETS. Assessment of access to sustainability-linked financing options, including green bonds, sustainability-linked loans, and alternative funding sources.
Technical & Operational Assessment of Assets:
Integration of technical vessel inspections with financial due diligence to ensure a complete understanding of asset condition and performance. Review of fleet efficiency, maintenance records, and lifecycle costs, with a focus on future-proofing investments. Evaluation of digitalization and fuel optimization technologies that impact both operational costs and environmental compliance.
Risk & Opportunity Mapping:
Identification of financial risks and mitigation strategies, including hedging, diversification, and strategic asset planning. Analysis of market positioning and investment viability, considering upcoming regulatory and technological shifts. Assessment of M&A, restructuring, or strategic partnership opportunities in the context of maritime sustainability.
Comprehensive Reporting & Strategic Advisory:
A detailed due diligence report, integrating financial, technical, and operational insights. Decarbonization Financial Risk Score, providing a quantifiable measure of a company’s readiness for maritime energy transition. Tailored advisory on investment risks, sustainability financing, and compliance pathways, ensuring financial resilience in a changing industry landscape. By combining financial analysis with deep technical and operational insights, The House of Shipping delivers a Financial Due Diligence service that is both comprehensive and forward-looking, safeguarding investments while ensuring alignment with the maritime sector’s evolving sustainability and regulatory framework.