Regional Market Leader in the PVC Hoses Manufacturing Seeks Growth

Opportunity Snapshot

  • Country: Greece Greece
  • Industry: Manufacturing
  • Stage: Expansion/Growth
  • Investment size: $6,000,000 / min. $3,000,000

Investment Opportunity

Globally the plastic hose industry is in the middle of a major reshuffling. Traditional manufacturers have either seized operations or shrunk to a large degree. The demand for pvc and lay-flat hoses in 2011 exceeds offer by 22.000 tons! We need funding to expand and fill this gap.

The company has developed the Aquatech Series - High Quality Hoses for use in Transportation of Potable Water according to British Standards BS 6920 and Approved by the WRAS (Water Regulation Advisory Scheme) of the UK. Testing for suitability to transfer potable water is very strict, this is why approval for Potable Water has been given only to a handful of flexible hose types. Aquatech series is the only one to include spirally reinforced, polyester yarn reinforced and layflat hoses in the potable water range. The potable water series will be deployed first in Australia via a big client distribution network.

Olivetech is the new hose with approval for transportation of Fatty Foodstuffs (including Olive Oil and a whole range of edible oils). State of the art materials have been used to ensure that there are no harmful migrations to the oils, according to the latest EU Directives and regulations.

Our Company is running an unprecedentent turnover growth and practically is the only regional player in the field of variable plastic tube.

We will close the year with turnover of 15 ML!!! For comparison - last year we had 10 mln (we are yet a small compan, at least for now...).

However, liquidity is an issue and we are desparate for a cash
injection from a strategic partner that is bound to benefit from the
investment despite any country risk as the 87% of the capacity is sold

Bare in mind that the pvc hose product and the lay flat hoses have been greek (!) patented products up until 1987. Our know-how is point of reference for the global market!

Competitive Advantage

Actually we have NO COMPETITION!! Due to our know-how there are no companies in the field that can produce hoses of the same quality and stantards. We could say that we have the unique recipe here, something like the Coca Cola recipe but in industrial products context. Therefore, we believe that no one can follow us!

Rationale for the deal

The opportunity comes from the fact that after the global crisis a handfull of companies are left standing... Us being a small and flexible company (owing 2 factories) we are in a position to take advantage of the situation and to conqouer the global marketwith the right funding!

We are the only company that produces PVC hoses and lay-flat hoses of all diameters and for all uses from gardening, agricultural to heavy duty applications. Not to mention our know-how point of reference for the global market!

Use of financing

As mentioned above, we need a cash injection from a strategic partner.
Since 87% of the capacity is sold abroad the country risk should not hold back interested investors.

With the right funding this company will go forward despite of the crisis! It will go ahead completing its business plan and becoming multinational!!!

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