Jurisdiction(s):
United Kingdom

Key definition

Project company definition

What does Project company mean? In PPP/PFI procurement, a project company is the special purpose vehicle (SPV) incorporated by the winning bidder to enter into the project agreement (for example, a PFI Project Agreement, PPP agreement or concession agreement) with the public authority and deliver the project. It ring-fences project risks and cashflows, is usually a company limited by shares owned by the sponsors, and raises limited‑recourse project finance. The project company receives the unitary charge or user revenues, lets the key sub‑contracts (construction/DB and O&M/FM), grants security over its assets and shares, and enters into direct agreements with lenders and the authority to provide...

Project finance construction contracts for lenders: EPC/turnkey structures, pricing, risk allocation, liquidated damages, termination, force majeure, indemnities, back-to-back concessions, direct agreements, security and step-in rights

Published by a LexisNexis Banking & Finance expert

Practice notes

Most ventures rest on an intricate network of contractual ties linking all participants involved in the project (eg the Project company, Equity Investors, contractors, sub-contractors, off-takers and suppliers). These agreements are commonly known as the 'project documents'. For further details, see: Project documents: issues for lenders—overview. In numerous projects, the construction contract forms one of the key project documents.

What is a construction contract?

Within a standard project finance deal, the project company is a Special purpose vehicle (SPV) created solely for the purposes of the project (see Practice Note: Project finance—key project parties). Schemes that require building a new asset (ie 'greenfield' projects) will almost always involve substantial construction activity. Where the project company is an SPV, it is improbable that it possesses the capability to design and/or build the project itself; accordingly, it will enter into a construction contract with a suitably skilled contractor (the Construction Contractor) to deliver those services on its behalf as required...

To view the latest version of this document and thousands of others like it, sign-in with LexisNexis or register for a free trial.

Web page updated on 21/05/2026

Popular documents

Using the Judicial College Guidelines to assess general damages in personal injury claims

When evaluating a general damages claim, the practitioner ought initially to refer to the Judicial College Guidelines (JCG)...

Tomlin orders in England and Wales: CPR guidance on drafting, confidentiality, approval, variation, enforcement, limitation, CCA issues, court-specific requirements, sample wording and precedents

This Practice Note This Practice Note reviews mechanisms used in settling litigation. A Tomlin order consists of a consent order paired with a schedule. It operates to stay proceedings on terms that have been agreed. The provisions contained in the schedule may remain confidential. This Practice Note describes the scope of confidentiality attaching to the schedule and sets out how it differs from a standard consent order. Sample wording for a Tomlin order is included, alongside links to precedents, as well as guidance on court approval. It also addresses varying, setting aside and enforcing a Tomlin order, including the considerations the court will take into account when handling applications for each. Further guidance is provided on interpreting and applying the relevant provisions of the CPR; however, some courts and divisions impose very specific requirements for both drafting and approval, and for approaching the schedule and confidentiality issues. Accordingly, you must consider the particular rules and court guide provisions in the forum where your claim is proceeding when drawing up the Tomlin order...

Precedent: Deed of Surrender of Lease with Optional Premium, Settlement and Release, Landlord, Mortgagee and Guarantor Consents, Reimbursement and HM Land Registry Provisions (England and Wales)

Date [ date ] Parties [ name of Landlord ] [ of OR incorporated in England and Wales (company registration number [ number ]) with its registered office at ] [ address ] (Landlord) [ name of Tenant ] [ of OR incorporated in England and Wales (company registration number [ number ]) with its registered office at ] [ address ] (Tenant) [ [ name of Guarantor ] [ of OR incorporated in England and Wales (company registration number [ number ]) with its registered office at ] [ address ] (Guarantor) ] [ [ name of Mortgagee ] [ of OR incorporated in England and Wales (company registration number [ number ]) with its registered office at ] [ address ] (Mortgagee) ] Definitions Within this Deed, the terms below shall be interpreted as follows: [ Annual Rent • the annual sum reserved under the Lease; ] [ Insurance Rent • the Tenant’s share of the Landlord’s costs of insuring the Property (as set out in the Lease); ] Lease • the lease of the Property dated [ date ], entered into between (1) [ the Landlord OR [ name ...

Precedent Statutory Declaration: Standard Wording under the Statutory Declarations Act 1835

I, [ name ], of [ address ], solemnly and sincerely state that: [ Matters to be verified, set out in numbered paragraphs ] I make this solemn statement in good conscience, believing it to be true, and pursuant to the provisions of the Statutory Declarations Act 1835. DECLARED at [ details ] this [ day ] day of [ month and year ] Before me ................................................................................ [ signature of the person before whom the declaration is made ] A [ commissioner for oaths OR [ solicitor OR [ insert other qualification ] ] authorised to administer oaths ]...