Entrepreneur Seeking a Partner to Buy and Expand a LPG Bottling Plant

Opportunity Snapshot

  • Country: India India
  • Industry: Energy, Natural Resources, Mining
  • Stage: Expansion/Growth
  • Employees: 120
  • Investment size: $2,394,600 / min. $1,394,600
  • ROI: 20% in 5 years
  • Type of investment: Debt, Equity
Three Orange LPG Bottles

Investment Opportunity

I am looking for investor to help me buy a successfully running LPG Bottling plant. Currently they fill for BP (Bharath GAS) and have their own gas distribution.

The Unit had started operation in the year: 1995

Ownership: Single Owner

Total Land Area: 14 Acre

Land Used for Plant: 4 Acre

Unused Land Area: 10 Acre

Capacity of the Plant: 40 Metric Tons

Filling Method: Automatic Filling (USA Technology)

Filling Capacity: 9,000 Cylinders / Day

Present Filling: 3,000 Cylinders / Day

Number of Cylinder Stock: 12,000 Cylinders

Number of Employees: 120

Present Turnover: Rs 15 Crore / Year

Present Profit: Rs 5 Crore / Year

Sales in Present running condition:

Avg. Cylinders sales per day: Rs 3,000

Avg. Cylinders sales per month: Rs 75,000

Future Sales when running in full condition (after expansion of 9k cylinder production):

Cylinders sales per day: Rs 9,000

Cylinders sales per month: Rs 2, 25,000

Rationale for the deal

It is a very successfully running LPG filling unit. At present 3000 cylinders are filled every day.

I am interested in buying that plant and increasing the filling from 3000 to 9000 bottles per day.

The profit margin in LPG bottling plant is around 30%.

Use of financing

The capital provided will be used for buying the plant and increasing the plant filling performance from 3000 cylinders to 9000 cylinders per day.

Opportunity for the investor

Investment can be in both debt and equity.

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