Opportunity Snapshot
- Country: South Africa
- Industry: Agriculture
- Stage: Seed
- Investment size: $78,000,000 / min. $29,000,000
Investment Opportunity
I want to buy Prestige irrigation and become the leader in the irrigation market, with the selling of irrigation products to farmers and to co-ops and do landscaping.
I want to import products and open to factories namely, one. Upgrading of the existing pivot factory. Two. Open a plastic pipes and nylon fitting factory. And then I want to trade with all of the co-ops and all of the irrigation firms in South Africa and I also want to target the landscaping market.
When everything is well and implemented then I want to target the rest of Africa. See the layout of the cost and you will see each face that there is about the business.
I want to buy a small irrigation firm in the Free State. Why in the Free State. Bloemfontein is about in the middle of South Africa, and can create job for people that have no job and income, and want to give jobs for people with disabilities. It is simple, it is a good investment. They manufacture their own pivots. They have a good name and got the right kind of pivot. With a bit of improvement on the product and the management it, it can grow into a very successful product and company. I believe that they can be the leader in the irrigation in South Africa. There’s going to be a few faces over 5 to 8 years.
Required investment: The total cost of business are 78 million US dollars.
The layout of the cost:
Phase 1 and 2
- Buy of company are estimated at 3 million US dollars.
- Property cost estimated at 4.2 million US dollars.
- Building cost are estimated at 6 million US dollars.
- Product cost are estimated at 9 million US dollars.
- Pivot factory cost are estimated at 1 million US dollars.
- Plastic pipe s and nylon fitting factory cost are estimated at 2 million US dollars.
- Shelves for products cost are estimated at 2.1 million US dollars.
- Transportation costs are estimated at 2 million US dollars.
- Stationery costs are estimated at 300 thousand US dollars.
Phase 3
One of the trade shops costs are estimated at 2.1 million US dollars each. It includes the following.
- Property, building and products.
- Transport, stationery, shelves, etc.
Phase 4
- One of the trade shops costs are estimated at 3 million US dollars each. It includes the following.
- Property, building and products.
- Transport, stationery, shelves, ect.
Phase 5
One of the trade shops costs are estimated at 2.1 million US dollars each. It includes the following.
- Property, building and products.
- Transport, stationery, shelves, ect.
Phase 6
One of the trade shops costs are estimated at 2.1 million US dollars each. It includes the following.
- Property, building and products.
- Transport, stationery, shelves, ect..
Phase 7
The research and developed cost are estimated at 29 million US dollars for start up. It includes the following.
- Property, building and equipments.
Minimum investment: 29 million US dollars
Industry: Irrigation to the farmers and garden and landscaping
If you are interested investor, please contact us on Merar
Competitive Advantage
I will be able to meet the communities need on all basic principles. For E.g. Designing contract work for installation of projects.
Manufacturing of pivots and plastic piping locally which is more cost effective.
Importing of pumps and fittings for it is more cost effective.
Rationale for the deal
The business is already established with the experience in the field of irrigation and is a well known in the pivot industry. They already manufacture their own pivots. I know with the necessary capital I can transform the small business into a large competive company, not just for South Africa but also for the rest of Africa. I know it will work for my aim is to be leader in the industry.
There is a demand for irrigation due to the fact that the water resources are getting scarce in South Africa and we need means of saving water and producing food.
Use of financing
Face one and two.
Buy of company are estimated at 3 million US dollars.
Property cost estimated at 4.2 million US dollars.
Building cost are estimated at 6 million US dollars.
Product cost are estimated at 9 million US dollars.
Pivot factory cost are estimated at 1 million US dollars.
Plastic pipe s and nylon fitting factory cost are estimated at 2 million US dollars.
Shelves for products cost are estimated at 2.1 million US dollars.
Transportation costs are estimated at 2 million US dollars.
Stationery costs are estimated at 300 thousand US dollars.
Face three.
One of the trade shops costs are estimated at 2.1 million US dollars each.
It includes the following.
Property, building and products.
Transport, stationery, shelves, ect..
Face four.
One of the trade shops costs are estimated at 3 million US dollars each.
It includes the following.
Property, building and products.
Transport, stationery, shelves, ect.
Face five.
One of the trade shops costs are estimated at 2.1 million US dollars each.
It includes the following.
Property, building and products.
Transport, stationery, shelves, ect.
Face six.
One of the trade shops costs are estimated at 2.1 million US dollars each.
It includes the following.
Property, building and products.
Transport, stationery, shelves, ect..
Face seven.
The research and developed cost are estimated at 29 million US dollars for start up.
It includes the following.
Property, building and equipments.
Marketing.
The marketing costs are estimated at 200 thousand US dollars.
It includes just the face One to three.
Salary.
Salary cost for face one and two are estimated at 50 thousand US dollars per month.
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