High Potential Manufacturer of Wood Based Panels Looking for Investor

Opportunity Snapshot

  • Country: India India
  • Industry: Manufacturing
  • Stage: Start-up
  • Investment size: $400,000 / min. $350,000
  • Type of investment: Debt

Investment Opportunity

Orange Plywood is a private limited company which has been set up to manufacture panels, block board, flush door, particle board and fibre board.

Wood and wood based products are an important part of our day today life. In India, three main types of wood based panels viz. plywood including block board and flush doors, fibre boards and particle boards are manufactured. Orange Plywood Private Limited is basically a pasting and pressing unit and has been formed to produce all the above mentioned three types of panels. The unit is situated in the state of Bihar having all the infrastructural facilities and communication. To achieve its vision of worldwide presence in quality panel products, a high potential industry, the company needs some externl financial assistance.

Short term objective of the company is to start with the manufacture of quality plywood including block board and flush door. Long term objective is to manufacture all the three types of panels and have worldwide presence and distribution.

The company has good future potential because of the huge growing demands owing to boom in construction works especially in the state of Bihar. However, for the company to run effectively and smoothly, it requires financial assistance.

Full project description is enclosed in the attachment.

Competitive Advantage

There is a huge demand for the products Organge Plywood Private Limited is is offering. The company will be the only manufacturer of plywood in this area and its development is inevitable due to the enriched geographical location and abundant supply of raw materials through numerous nearby suppliers.

Rationale for the deal

As India is experiencing a rapid phase of urbanization with a change in lifestyles, a growing demand for panels is inevitable and so is the progress and development of this company.

The demand is huge because the products of the company are used widely throughout every walk of life. Be it construction or interiorexterior of home, office or apartments or any other kind of construction. It is used as building materials in construction of various items like doors, windows, room partition, sofa, bed, frames, TV cabinet, roofs, electrical fitting accessories, bottom junction boxes and many kinds of furniture etc.

Furthermore, owing to gradual opening up of Bihar, huge housing, construction and infrastructural developments are taking place which in turn is increasing the demand for these kinds of products.

Use of financing

The company needs to upgrade its plant and machinery and requires continuous supply of raw materials to utilize its full capacity of production. To achieve this objective, on one hand, the company needs at least a term loan of rupees 50 Lacs to upgrade and purchase new machinery. On the other, it requires cash credit of rupees 1 crore as working capital.

We are flexible and recommendations are welcome from the investor/investment banker as a basis for the development of a strategic plan for the onset of this manufacturing plan.

The roadmap is written for a broadly based investor and audience ranging from sector specialists, Banks, industry executives, to equipment suppliers, to government departments, policy makers and educators.

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