PEP were engaged to conduct Technical Due Diligence services for the acquisition of 42 broiler sheds divided into seven adjoining farms near Blanchetown, SA. This farm operates as a RSPCA approved free range farm and has a capacity of 10 million chickens per annum.
Our scope of works was customized to suit our client and incorporated a detailed review of the poultry shed structure and fabric, the fire, electrical, ventilation and hydraulic systems and a life cycle assessment of the specialist chicken feed, water and ventilation equipment within the sheds. A ten year prediction of capital expenditure requirements was undertaken together with a cost assessment of Depreciable Assets.
We incorporated a specialist Hydrogeologist to review surface and underground water quality which involved research into the various aquifers within the region and testing of the water being consumed by the birds.
Our technical assessment involved the estimation of the demand of water consumption to ensure the water infrastructure had been designed adequately. This involved calculating the estimated daily consumption by the birds during their life cycle and estimating the water consumption required for cooling systems and irrigation systems for the external grass ranges.
Overall, the Due Diligence process took in the order of 4 weeks from the date of inspection.
Our team include consultants who have specific experience in the Agribusiness industry, including poultry broiler sheds and hatcheries.
Our clients conduct Due Diligence in order to gain an understanding of the technical aspects of the property and to assess any risks or capital expenditure requirements which need to be factored into the overall investment strategy.