IFLR 1000
The Guide to the World's Leading Financial Law Firms

Africa has been a busy area for French lawyers, with a raft of new mandates being seen in the form of infrastructure and natural resources projects. The rise of global commodity prices' has also brought a real boom to the continent's mining activities, while a growing middle class and the transportation needs for the mining sector have boosted African governments' roads, railways and ports plans. "In Africa, first we saw infrastructure projects, secondly power, and then mining projects," says one partner, and another one agrees: "The major development in Africa are the continuing and very strong mining and power projects."

Elsewhere, Asia and Central and Eastern Europe (CEE) have also become visible when it comes to new work. "You will find international law firms in central Europe," says one. "It's a trend because all these countries are now equipping themselves with infrastructure since they're now part of the Europe, they need also to develop infrastructure transportation, so you'll find a lot of motorways, railways, and airports."

Natural gas related projects have also been seen in Asia, particular Indonesia and Australia.

In the French domestic market, infrastructure projects involving PPP (public-private partnerships) has obviously become a major trend, several partners agree that there is a huge potential to develop the area. "The French state has launched a great number of transport networks, infrastructure and stadiums projects," says one lawyer. "There's an increasing level of public spending these days in the French infrastructure sector, I think that has maintained it at quite a high level." While another agrees: "The major part of what has been going on in the market over the past two years is the launch by the French government of major infrastructure work in PPP projects, so basically roads and railways."

There are two main reasons for this. One is due to the ageing infrastructure in France built in the 70s and 80s, the country has to consider building new roads and railways to replace the old facilities. The other one is largely down to the current Eurozone debt crisis which left the government facing a huge public deficit, therefore "there is pressure for the government to outsource these projects and request the private sector to invest instead in these projects", according to one partner.

The renewable energy sector in France has also prospered and is expected to grow further in the near future. The Fukushima nuclear disaster has to some extent boosted the area's development, as one lawyer says: "Because of what happened in Japan, we're called in more and more to develop renewable projects. It's mainly wind or solar."

In addition, there could be a possible change in the feed-in tariffs regime within the photovoltaic sector, which would see investors facing a cut in the set price for the energy they produce. "What the government wants is to launch a 'request for proposal' bid process for investors to invest but with reduced feed-in tariffs." He then went on to add: "The government still allows feed-in tariffs, but in the solar energy sector, they will propose feed-in tariffs on a case by case and project by project basis, so not a general feed-in tariff."

On the wind side, though the market is still waiting to see what the new Decree is going be in order to govern the said area, practitioners are quite optimistic about the sector's development. "I would say this is the main area, there's a development for this type of financing," says one. "We've a clear feed-in tariff price. The feed-in tariff is increasing, it's higher than the market price, it's to subsidise the development and the position of the renewable project and plants. So the government is encouraging this sector."

Allen & Overy's already strong project finance team in Paris was given a major boost in July 2011 with the announcement of the firm's new office in Morocco.

The firm can already point to an impressive track record in Francophone Africa and the new office can only strengthen that position.

Last year in the energy market, one of the firm's notable deals saw the Paris team advise GDF Suez, Natixis and other sponsors in relation to the financing of the €94 million Curbans project, believed to be one of the largest photovoltaic solar plants in the French market.

Another energy transaction saw partners Alexandre Ancel and Christine Poyer-Rufenacht lead the team advising Caisse des dépôts et consignations on the financing of the EPR power plant at Flamanville. The mandate is part of the French financial institution's potential investment in Exeltium, a special purpose vehicle (SPV) bringing together a number of "electro-intensive" European industrials.

On the infrastructure side, a €7.8 billion high-speed railway project saw the team, including Geoffrey Levesque, Romaric Lazerges, Rod Cork and Poyer-Rufenacht, advise a consortium led by Vinci on the financing of the 300km SEA railway between Tours and Bordeaux. It is believed to be the largest PPP (public-private partnership) project in France over the last year.

Again Levesque Lazerges, teamed up with Cork in a €273 million Vélodrome stadium project when they advised a consortium of lenders, including Natixis, BPCE, Arkea and Crédit Agricole CIB, in relation to the PPP contract for the renovation of the stadium in Marseille.

"Good at negotiating", "innovative solutions", and "broad legal knowledge" are the main features that clients pick out about the Clifford Chance project finance team in Paris, while one peer describes the team as "very successful particularly in Africa". "We appreciate them very much, especially their negotiations, we think that was pretty much the best advice from a law firm we've received in a project finance transaction, and we're very satisfied with them", says one client, while another one agrees: "They were able to solve a lot of issues which we had from the bank side, and they are good at negotiating with the clients, so they were good, and I will definitely use them again."

Partners Anthony Giustini and Nicholas Wong were both kept busy over the past 12 months with the energy, natural resources, and infrastructure projects and they are held in high regard by clients. "They've [got] very broad and very good legal knowledge, especially with respect to project finance issues, also with the respect to international law and international project finance law, they're very very appealing," says one, and another one adds: "Their legal knowledge is very good. They know all the answers to solve our questions."

One highlight saw them advise various export credit agencies (ECAs) and a group of international banks on an approximately €2.5 billion financing of the Nord Stream gas pipeline project phase II. The team, worked alongside their colleagues in Belgium, Germany, the Netherlands, Russia and the UK, covered a wide range of legal issues regarding energy regulation, competition, real estate, corporate, and derivatives.

Again both partners came in for specified praise regarding their innovation. "They were very innovative, because they were able to come up with a list of solutions to difficult issues which we had, by suggesting things which were acceptable to both lenders and sponsors legally, so definitely they were creative in finding solutions," says one, and another one agrees: "Yes, they're extremely [innovative]. I think there're a lot of issues where they were able to offer innovative solutions and they've always found the solutions on how to end of this sort of thing."

A substantial Turkish project involved Wong who led the team advising a consortium of banks, including the International Finance Corporation, WestLB London branch, UniCredit Bank Austria alike, in relation to a portfolio financing of several energy projects, including wind, hydro, and gas. The €700 million debt financing project was developed by the Turkish energy provider EnerjiSA, and the market suggests it was injected with the largest international private investment in the energy sector.

One highlight on the infrastructure side saw a team led by partners Giustini and David Préat advising a group of banks in connection with the design, build, operation and financing of the concession for a toll road between Patte-d'Oie and Diamniadio in Senegal. The project was valued at €200 million, and it is the first toll road concession in Senegal.

Clients also comment on the team's responsiveness: "The whole team on the transaction is very very responsive. It was always possible to communicate, to call, to discuss the issue with one of the partners." While another one adds: "They were very accessible and responsive. They delivered input on time and they don't even mind working on the weekend. I could always speak to them very easily on the phone or through e-mail."

In the Middle East, Wong again advised the lenders in relation to the financing of a €2.5 billion aluminium rolling mill and a $5 billion aluminium smelter complex in the kingdom of Saudi Arabia. Both projects are part of the country's strategy to diversify away from the petroleum and petrochemical sectors by developing a portfolio of diversified mineral projects.

Another infrastructure finance lawyer Daniel Zerbib also impressed his peers: "Daniel is an outstanding, and extremely good lawyer. He's very friendly, very helpful to do the deals. I can only say good things about Daniel," says one.

Gide Loyrette Nouel is one of the biggest names on domestic project finance and clients are satisfied with the firm's performance. "The team performs very well, very proactive, and have good negotiation skills. We're quite happy with the service provided by the firm," says one, while another one agrees: "In terms of the quality of the job provided by Gide, it is good." Though he also points out there is a space for improvement "in terms of the time to deliver the job and the accuracy of the answer".

Elsewhere the team's commercial sense also stands out, gaining clients' praise. "I think they understand the legal issues, but they've got a good commercial understanding of how compromise can be sound," says one.

In the energy market, a substantial deal saw partner Michel Guénaire lead the team providing legal advice to Exeltium consortium's creation, formed by electricity purchasers in France. The team then went on to advise the consortium over the €1.75 billion loan financing secured through issuing securities. As part of a long term supply agreement with the utility company EDF, the firm also covered legal advice of the upfront payment made to EDF purchasing about 150MW of electricity over a period of 24 years by Exeltium.

Communications is good between the firm and its clients, who appreciate the team's availability: "It's very easy to communicate with them. [They were] always available and they were very reactive. So we always have answers regarding our questions."

Infrastructure projects have been booming in France in the last couple of years thanks to the government's incentives in supporting the sector. The market saw a Gide team led by Thomas Courtel advising a consortium of entities, such as Colas, HSBC European Motorway Investment 1, and Spie Batignolles alike, over an approximately €1.1 billion financing for the construction of the former N10 national road, for its duration of 40 years. The innovative aspect of the deal included a €400 million entry payment, relating to the transfer of the road to the concessionaire, to be paid when the project starting as part of the financed cost.

"Obviously Courtel's team is very knowledgeable, in particular in French public and administrative law," says one client. "They're straight to the point; they're trying to find some practical solutions to the legal issues." He then goes on: "I do feel that they're one of the best professional teams acting in the major infrastructure projects in France."

Africa projects are still considered to be quite a lucrative area for the firm as partner François Krotoff has been involved in a couple of PPP (public-private partnership) projects in the region. In one he advised the Islamic Development Bank on an estimated $300 million financing for the construction and exploitation of combined cycle gas power plant in Vridi, Abidjan and the Ivory Coast, of a total capacity of 200MW. "Gide has an excellent knowledge of PPP in France," says one client.

In a similar region-linked mandate, he also advised Geogas on the financing and construction aspects of a 1500 ton LNG (liquefied natural gas) storage project, including drafting investment conventions, shareholders' agreements, and reviewing the financial agreements.

In the Far East, partner John D Crothers led the team advising on an approximately $1.25 billion financing over the structuring and implementation of a 30km elevated expressway PPP project in the Bangladeshi capital Dhaka.

When it comes to the fees that the firm charges, clients find it "pretty competitive" and the team is also "flexible". "The cost was pretty competitive, it is highly negotiable at the beginning of the transaction," says one. "It was even lower than the competitors when we select them."

Partner Simon Ratledge at Linklaters stood out grabbing rivals' attention due to "his own reputation", "a younger partner coming up and should be mentioned here, Simon Ratledge tends to be known in the international market more than in France but he certainly has his own reputation," says one.

In the railway sector, partner Bertrand Andriani led the team advising senior guarantor Réseau Ferré de Fran over the approximately €757 million loan facility financing, as part of an overall €7.8 billion financing, for a design, build, finance and operate (DBFO) project. The 303km high-speed railway runs between Tours and Bordeaux.

The most notable compliment for White & Case's project finance team from its clients is the partners' commitment. "We really like White & Case, which is not always the case in the other law firms," says one. "Because the partners in White & Case are participating in the whole process, in our every meeting."

Partner Paule Biensan also came in for personal praise. "Biensan is a really dedicated person to her job, and very professional. So we had a very good relationship in the past," says one.

Alongside Biensan, the key figures involved in most of the transactions are partners Jacques Bouillon, and Victoria Westcott. One notable energy mandate in the French market saw the team advise the EIB (European Investment Bank) and a consortium of eight commercial banks over a €940 million financing of the A63 motorway between Salles and Saint-Geours-de-Maremne.

Another highlight saw the team advise a group of lenders, including Natixis, Santander, ING, Fortis and Helaba, on a €935 million financing of the A65 motorway in France by a French construction company Eiffage.

The Paris office's reputation and professionalism are been singled out by one client. "They're very well-known here in Paris in the project finance. I would say they're one of the best teams in this practice area," says one. "They're very good professionals, and very dedicated people. They take account for every single detail, and they're trying to defend our position and interest against the sponsors in a professional way."

In Scandinavia, the firm was also called in to advise the lenders in relation to support its consortium, composed of Strabag and Zurich Airport, in the current public tender for the E18 motorway in Finland.

Again the team's capacity in Africa has been proved to be strong and solid as they advised on a number of infrastructure, energy and natural resources transactions. One example saw them advise on the €280 million financing for a Tunisian cement plant, with funding drawn from local and international sources. The plant produces 500,800 tons of cement per day in DjeBel Ressas.

"They have a big team. Paule whom I spoke to with others are active. They deserve the ranking," says one rival.

The firm is well known for its emerging markets practice and this was demonstrated through a number of African mandates last year. In one example the team advised sponsors BHP Billiton, Dubal, Mubadal and the project company over their $4 million financing of a major mining project in the Republic of Guinea. In Morocco, the team advised two Moroccan lenders in relation to its financing for an approximately 1320MW coal-fired electric generating station, before the bidding consortium's final offer submission for the project. Finally in the Republic of Senegal, the firm advised a consortium of banks, including the International Finance Corporation (IFC), BAD, BOAD, and CBAD, over their financing for a toll motorway in the country's capital Dakar. In addition, the team also advised the project company formed by Eiffage in relation to the financing and concession of the same toll motorway.

"White & Case have been providing very reliable feedback, dedication, and all the answers to the questions raised by the project. They're answering in time in a reasonable manner that helps the project run smoothly," says one client.

French boutique De Pardieu Brocas Maffei has drawn peers' attention in the project finance field as one says: "De Pardieu is very strong in financing in general, they're mostly working for the banks."

On the infrastructure side, partner Jean Renaud Cazali led the team advising the European Investment Bank on the €800 million financing of the concession of the motorway A63 awarded to a consortium led by Bouygues.

Elsewhere Renaud Cazali advised the arranger Société Générale and the lenders on the financing of the public-private partnership (PPP) agreement relating to a 1000 video cameras protection project. Another PPP involved project saw him again involved advising the arranger and the group of lenders on the financing of the first PPP in France relating to the conception and construction of photovoltaic plants in Vendée.

The project finance practice at Freshfields Bruckhaus Deringer received a big blow last year after a team of lawyers, including 10 associates headed by Amir Jahanguiri and Thierry Laloum, left to join its New York rival Willkie Farr & Gallagher in Paris. Industrial experts estimate the market needs to wait and see how the firm would rebuild its project finance reputation.

"To what extent they will remain active in project finance side has yet to be seen. It's difficult to say which tier they should be placed in, we'll have to see," says one competitor, meanwhile he also points out that the firm is apparently trying to reshape its Paris project finance arm, in particular in the public law field, by hiring a trio of lawyers from Paul Hastings Janofsky & Walker led by partner Pascal Cuche.

"Freshfields in the recent years have closed down a number of practice, now they see to rebuild a team on PPP, which is their recruitment strategy, well we will have to see," says another competitor. "I think they will remain in the first three tiers, either two or three."

Herbert Smith traditionally has a strong project finance team and its work in Africa was given the thumbs up by its peers. "One of the partners who was at Hogan Lovells joined Herbert Smith last year, Jacques Bertran de Balanda's doing a good job at Herbert Smith, plus Herbert Smith have been traditionally strong in project finance." While another adds: "They've simply been active in African work."

A Paris team led by Bertrand Montembault and Regis Oreal advised Perenco, one of the Europe's leading independent oil & gas companies, on a $2.8 billion reserve-based lending facility. The transaction covered assets in multiple jurisdictions, including Gabon, Egypt, Colombia, and England alike.

In the renewable energy sector, the team led by Oreal also acted for BPCE on the financing of three photovoltaic power stations.

One notable infrastructure mandate at Hogan Lovells saw partner Bruno Cantier advising RFF on a public private partnership (PPP) agreement relating to Nîmes-Montpellier bypass HSL, worth €1.4 billion.

Another highlight saw Ludovic Babin lead the team advising the Ministry of Defense on a PPP contract relating to French Pentagon project in Balard in Paris. The mandate was signed on May 30 2011 priced at €950 million.

Norton Rose has been busy this year, particularly in Africa, as one peer says "the firm even maybe deserves a better ranking", while another adds that "the firm does some stuff in Morocco".

In line with market, the firm has also got its hands on infrastructure mandates such as railways. A team of lawyers, including Philippe Malléa, Véronique Bruel and Sarah Beau, advised EIFFAGE concessions for the PPP project to build the high-speed track between Bretagne and Pays de la Loire.

Willkie Farr & Gallagher has moved up one tier this year after hiring a team of project finance lawyers from Freshfields, including a group of 10 associates led by energy and infrastructure project finance partner Amir Jahanguiri and former environment partner Thierry Laloum.

The firm grabbed the largest PPP (public-private partnership) project in 2011 when Jahanguiri and Laloum advised the European Investment Bank (EIB) in relation to the financing of the €8 billion high-speed railway linked between Tours and Bordeaux (LGV SEA). The mandate was closed at end of May.

In another €1.2 billion transaction, the duo again advised a consortium formed by Vinci, Vinci Concessions, Axa IM, Caisse des Dépôts et Consignations and Keolis acting as one of the bidders, on the project financing of the concession for the design, construction, operations and maintenance of the CDG Express railway.

Elsewhere, the team advised a group of banks, including BBVA and Crédit Agricole alike, on the financing of the partnership contract for the design, financing, construction and maintenance of the Olympic Stadium in Nice.

Cleary Gottlieb has highlighted its work in the emerging markets particularly over Africa during last year. One example saw the firm representing the OMVG, comprising Senegal, The Gambia, Guinea and Guinea-Bissau in the structuring of a public-private partnership (PPP) for the construction of a €1 billion hydro-electric project. It consists of two dams located in Senegal and Guinea as well as a regional interconnecting line across the four countries.

From the energy side, the firm acted as counsel to the OMVG and African Development Bank in relation to the PPP structuring and the implementation of a $1 billion hydroelectric energy program.

Barthélemy Faye also led a team acting for the International Finance Corporation in an IPP (independent power producer) project on the Niger River. It connected with a joint venture with the Government of the Republic of Mali to develop a hydro IPP in Mali at Jenie under a PPP structure.