Buffalo and Sable Antelope Breeding Project in South Africa

Opportunity Snapshot

  • Country: South Africa South Africa
  • Industry: Agriculture
  • Stage: Start-up
  • Investment size: $6,000,000 / min. $500,000
  • ROI: 25% in 1 years
  • Type of investment: Equity

Investment Opportunity

I am looking for investor/partner to invest in a Buffalo and Sable Antelope Breeding project in Hoedspriut, Limpopo Province, South Africa. We can insure a minimum ROI per annum of 25%.

The investment amount needed to purchase the farm and animals is USD 6 mil.

Two companies will be formed between the partners.
• The one company will purchase the property
• The other company will do the farming and will rent the farm from the company owning the farm

Shareholding will be as follows:
• The investment partner will have 49% in the company owning the property (South African law)
• I will hold a 51% share in the company owning the property
• The investment partner will hold a 50% share in the company doing the farming
• I will hold the other 50% share in the company doing the farming

Background of Buffalo Breeding in South Africa:

The project will be about the breeding of Cape Buffalos. There is a huge market for decease-free Buffalos and we will breed only such animals. There are about 50 buffalo breeding farms in South Africa.

The breeding herd will consist of an initial 20 breeding cows that will grow to a maximum of 40 breeding cows. We will have two breeding stud bulls. Buffalo cows bring forth a calf every 14 months and almost 100% of all cows get pregnant.

Good breeding cows will cost about USD 50,000.00 each. A good stud bulls can cost up to USD 200,000.00. A few good bulls have been sold on auctions for USD 375,000.00 - USD 1.150,000.00 and the record bull for an amount of USD 2,275,000.00. Good cows and heifers will fetch between USD 40,000.00 and USD 150,000.00 with a cow sold recently on an auction for USD 2,500,000.00

We will only start to get an income out of the calves that we will breed in year 4. We will also keep our 4 best young heifers on a yearly basis to take our breeding herd up to a maximum of 40 breeding cows.

We could make an estimate USD 1,000,000.00 – USD 1,500,000.00 per annum. It is also possible for us to breed bulls or cows that could get USD 1,000,000.00 + on auctions

Background of Sable Antelope breeding in South Africa:
After Buffalo breeding Sable Antelope breeding is the most lucrative investment in South Africa.

In our project we will breed Zambezi Sable Antelopes. The aim is to breed big bulls with long curvy horns. The breeding herd will consist of 30 breeding cows. We will have two stud bulls.

Sable Antelopes give birth every 9 months and almost 100% of all cows will get pregnant. The Sable Antelope is very easy to farm with as these animals get very tame

Good breeding cows will cost between USD 35,000.00 and USD 60,000.00. Stud bulls can be bought for USD 125,000.00. Recent prices fetched for breeding bulls on auctions in South Africa are between USD 225,000.00 and USD 375,000.00. Cows are sold on auctions for approx. USD 45,000.00.

We will start to generate an income from the Sable Antelope breeding project from year 2 or 3. We will take up some of the best heifers we breed in our breeding program to take the breeding stock up to a maximum of 50 cows and heifers. Bulls will be sold on auction and out of hand.

Estimate yearly income from the Sable Antelope program will be approx. USD 800,000.00–USD 1,200,000.00.

We could also breed a national record bull and cow in future.
Buffalo and Sable Antelope breeding is the most lucrative investment. One can invest in with return on capital invested of up to 125% per annum depending on the quality of the animals you breed
Our aim is to be one of the top 10 breeders in South Africa.

Should you be interested please contact me on Merar.

The recent auction held on 21st September 2011 by Thaba Tholo, a 35000 hectare private Game Reserve situated near Thabazimbi in the Limpopo Province, has rewritten the South Africa's Wildlife Ranching history books. Record prices were achieved for Matetsi Sable Cows (R 370 000 - $ 46,250), Zambian Sable Cows (R825 000 - $103,125) and the jaw dropping R 18 Million for a Buffalo Bull ($2,25 mil). A number of other National records were also broken for Cape Eland and Impala. The annual Thabo Tholo auction is fast becoming South Africa's premier auction, known for having some of South Africa's best game

Competitive Advantage

The farm we want to purchase already has Buffalos on so there is no need to apply for a Buffalo breeding permit. Sable Antelope could be bred without a breeding permit.

Our team has the knowledge to breed superior quality animals that could be ranked among the best Buffalo or Sable Antelope breed in South Africa.

Rationale for the deal

This is the best opportunity for any investor to earn above average income on an investment made. Not only will you earn anything from 25% per annum but if we breed superior animals you can earn more than 125% interest on your investment per annum. You will also own a 49% interest in the property which should increase in value by 5% - 10% per annum. You are also a partner in the business so we will expect you to at least visit the farm once a year. We want you to see how your investment grows.

Use of financing

One part of your investment will be used to purchase the farm in Hoedspriut. The farm’s size is 1600 hectares (4320 acres).

Another part of the investment will be used to purchase the Buffalo breeding cows and stud bulls, as well as the Sable Antelope breeding cows and stud bulls.

We will also do some infrastructure improvements and if so wished by the investor we will build a house on the farm to be used by the investor when visiting the farm.

Opportunity for the investor

This is a great opportunity for any investor to get involved in a low risk high income investment, and at the same time breed animals so that to secure the future of these animals.

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