Investors Invited to Participate in Woodworking Enterprise

Investors are invited to participate in the current woodworking enterprise. Funding is needed for a partial refinancing of bank loans and for working capital.

The proposed share of the company - 13-26%, the cost-$ 1.2 million.

Project participants - Owner and a foreign bank. The Bank acts as a guarantor to protect the interests of portfolio investors. The business plan of company is developed for 5 years (2010-2015). According to the base scenario in 2011, the business will be able to generate sales (excluding VAT) of $ 6.5 million and EBITDA $ 2,15 million, in 2014 - $ 10.3 million and $ 4.4 million, respectively. According to the optimistic scenario, in 2011, the business is able to generate sales of $ 8.7 million and EBITDA $ 3,1 million in 2014 - $ 12.9 million and $ 5.8 million, respectively.

The main benefits of the proposal:
• current company with formed production base, immediate commencement of return on investments
• unique equipment (no analogues in Ukraine) enables the highest quality products
• premises allows you to run a significantly scale of production
• perspective market for wooden houses from glued beams and complex building structures (large-span structures, roofs, etc.), an opportunity to take key positions in the emerging market
• full provision of the company with high quality raw materials (Carpathian Forest)
• significant export potential - high interest from foreign partners (a business portfolio developed) and the optimal location of logistics company - to the west of Ukraine
• investment looks attractive on financial ratios, 2011: EV / S - 1,16-1,21, EV / EBITDA - 3,4-3,5 (conservatively estimated a profit by the current enterprise value is estimated at $ 7.5 million)

Brief description of the enterprise
The company capacities require a monthly production: spliced material - 179 m3, construction laminated veneer lumber (commercial) - 160 m3, wooden houses (of laminated veneer lumber) - 581 m3, small architecture forms (gazebos, saunas, etc.) - 50 m3, fuel briquettes - 194 tons.
Capacity of the sawmill workshop - 2,33 thousand m3 of logs per month (at work in 2 shifts).

Property and Communications
The territory, occupied by the factory is 5.06 hectares (an act of permanent land use). Total area - 15,2 thousand m2. Industrial premises (9.45 thousand m2) - workshops, warehouses, dryer, boiler room, store-warehouse. In all buildings renovated rooms, ventilation systems and heating systems in accordance with the required conditions for the equipment. Office buildings (1.76 thousand m2) – administration cabinet (office) and dining room.Free space is 4 thousand m2 - a potential for development of production.
The company is provided with all the necessary communications. Water is carried through the city's centralized system. Electricity from a transformer substation with capacity of 800 kW. Gas routed to the enterprise. The company is self-sufficient self-heating (utilization of industrial wastes on modern industry standards).

Production equipment
The equipment is from Czech Republic, Slovakia, Italy, Germany (list of partners in the attached file), an automated line for production of complex building structures Schmidler (Germany)

Detailed information on the operations and assets of the enterprise is granted after signing a confidentiality agreement.

Interested investors can contact us on Merar.