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Offshore Gas Production Company Investment Opportunity in Bhopal, India

Seeking Investment: Company that will be manufacturing CNG gas for GAIL India.

Established 1-5 year(s)
Employees < 2
Legal Entity Private Limited Company
Reported Sales Nil
Run Rate Sales Nil
EBITDA Margin Nil
Industries Offshore Gas Production
Locations  Bhopal
Local Time 10:20 PM Asia / Kolkata
Listed By Business Owner / Director
Status Active
Overall Rating
Partial Stake Sale
USD 360 thousand for 50.0% stake (Native Currency: INR 30,000,000)
Reason: The proceeds from the investment will be utilised to buy machinery and complete the construction of ... View More
Includes physical assets worth USD 60 thousand
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Business Overview

- Our company will be manufacturing CNG gas for automotive usage.

- We possess a contract from GAIL, India. The contract gives our company the right to manufacture CNG and supply it in Sehore, Shajapur and Raisen cities of Madhya Pradesh for the next 15 years.

- Our company must manufacture & supply a minimum of 2,000 kilograms of CNG every day for the next 15 years. However, the contract also permits us to produce more than 2,000 kilograms of CNG every day, which will provide us with the flexibility to increase our company's revenue in the future.

- The contract mentions a pre-determined price at which GAIL will be purchasing CNG from us. The base price is INR 48.4 per kilogram and the price will change every 4 years.

- Our company has leased 5 acres of land from the government to construct our CNG manufacturing unit. The factory & land will be transferred to the government post termination of the contract period.

- Since, we will be selling CNG directly to GAIL, our revenue stream will be guaranteed and our investor's funds will be exposed to minimal risk.

- Our company was awarded this contract by GAIL after an in-depth evaluation of the promoter's financials and our company's vision to execute the project.

Products & Services Overview

Our company will be manufacturing CNG gas for automotive usage.

Assets Overview

Physical assets include:

- Manufacturing machinery & equipment.

- Built-up area of the factory constructed till date.

Facilities Overview

- Our company has leased 5 acres of land from the government for 15 years.

- The factory is being built on the leased land. Cost of construction is being borne by the business.

Capitalization Overview
Not Disclosed
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Disclaimer: SMERGERS is a regulated marketplace for connecting business sell sides with investors, buyers, lenders and advisors. Neither SMERGERS represents nor guarantees that the information mentioned above is complete or correct.
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