Investment Project for Innovative Energy-Saving Heating Radiator

Opportunity Snapshot

  • Country: Russia Russia
  • Industry: Manufacturing
  • Stage: Start-up
  • Investment size: $11,370,000 / min. $11,370,000
  • Type of investment: Debt

Investment Opportunity

Our company plans to launch on the market our newly-developed energy-saving heating radiators made of polymer. NPV: over 13.1M USD at 20% discount rate.

Profitability index: 2.15. Total project duration: 66 months.

Project idea
Radiators are made of metal all over the world. We, the project initiators, have questioned this practice and have developed a method of manufacturing radiators of polymeric materials. The cost-efficiency and technical characteristics of these products surpass those of traditional radiators. Based on this, we expect our products to become the leader on the market.

The emergence of this product will revolutionize this industry worldwide and most radiators in the near future will start being manufactured from polymeric materials.

Project Goals
We plan to bring to market these energy-efficient heating radiators from polymeric materials. By using the competitive advantages of our new products, we aim to take the leading market share of radiators in Russia and later in Europe. This will guarantee to the shareholders of our company a high return on investment and long-term stable cash flow.

To implement the project, we aim to raise equity capital of 11.37 million USD.
Here are the performance indicators of the investment in the project at a discount rate of 20%:
• Net present value NPV = 13.128 million USD.
• Profitability Index PI = 2.15
• Internal Rate of Return IRR = 40.5%
• Discounted payback period DPB = 54 months (4.5 years).
• Total project duration = 5.5 years.

Status of project
Research confirming the feasibility of creating this energy-efficient radiator of polymeric materials has been conducted. Mathematical models have been run and the thermodynamic parameters have been designed. Trial products have been experimentally developed in a laboratory and these products have been tested. The novelty of this solutions has been proven and a Russian patent for utility model "Heat panel” has been issued. The work on improving the product continues. At the same time we are developing contacts with potential partners in the project.

Investors can contact us on Merar.

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