How do we know what a port is worth?
Beneath the cranes, containers, and capital-intensive infrastructure lies a story told in numbers—enterprise value, EBITDA, beta, and discount rates. In this latest article, we dive into the analytical foundations of port valuation and demystify how financial professionals, investors, and public authorities assess risk and opportunity.
Using two fictional but realistic marine terminal case studies, the piece walks through:
- How comparables and multiples (like EV/EBITDA) are applied
- How beta is unlevered and re-levered to reflect project risk
- How discount rates are calculated using a Capital Asset Pricing Model formula
- Why capital structure matters—and how context changes everything
If you’re working in port planning, investment appraisal, concession design, or infrastructure finance—this paper aims to equip you with both clarity and practical insight. Grateful acknowledgment is extended to Jonathan Schwartz, CFA (Vice President, Monument Economics Group) for his insightful comments and contributions to the development of this paper and to Ryan Beach (www.linkedin.com/in/ryanbeach3) for his thoughtful review and comments, which helped strengthen the clarity and analytical depth of this paper.
Click here to read the full paper.