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Pipes & Valves Company for Sale in Jamshedpur, India

Precision mild-steel ERW tube manufacturing business for sale, offering installed capacity to scale production efficiently.
This Business is on a Premium Plan
Established 1-5 year(s)
Employees 5 - 10
Legal Entity Private Limited Company
Reported Sales USD 1 - 2 million
Run Rate Sales USD 2.5 million
EBITDA Margin 0 - 10 %
Industries Pipes & Valves
Locations  Jamshedpur
Local Time 6:30 AM Asia / Kolkata
Listed By Business Owner / Director
Status Recently Active
Overall Rating
Full Sale
Asking Price: USD 7.3 million (Native Currency: INR 700,000,000)
Reason: Promoters are planning to concentrate more on their primary business.
Includes physical assets worth USD 7.2 million
Interested in connecting with advisors
Name, Phone, Email
Not disclosed
Business Name
Available after connect
User Verification
Documents
IS1161
IS1239
IS3074
IS4923
Factory License
GST certificate
Business Overview
- Manufacturer of ERW precision steel pipes and tubes catering primarily to automotive, construction, fabrication and structural applications. The product portfolio includes round, square and rectangular ERW tubes, with customized lengths as per customer requirements.
- Established B2B customer base of approximately 7-8 clients, with products supplied directly to industrial customers for automotive components, fabrication and structural/pillar construction applications.
- Direct B2B revenue model, with revenue generated through manufacture and sale of ERW precision tubes to automotive and construction-related customers.
Strong manufacturing infrastructure with installed capacity of approximately 3,000 MT per month. Current capacity utilization is only around 15–20%, providing significant headroom to scale revenue without proportionate investment in additional manufacturing infrastructure.
- Experienced promoter-led management, with the business overseen by a four-member Director team covering the strategic and operational management of the company.
- Strong quality and manufacturing credentials, including BIS certifications for hollow sections, structural round tubes, automotive tubes and round tubes, along with ISO 9001:2015 and ISO 14001:2015 certifications.
- The manufacturing setup includes a precision tube mill, in-house slitting line, online non-destructive testing (NDT), laboratory and testing facilities, supporting quality control and production of higher-strength precision tubes.
- The company maintains the required Factory License and Pollution Control Board approvals for its manufacturing operations.
- Underutilized manufacturing capacity, established customer relationships and certified production capabilities provide a strong platform for scaling the customer base and volumes with no incremental capital expenditure.
Products & Services Overview
Our top-selling products are ERW precision mild steel tubes. Our ERW Tubes are primarily used in automobile components, fabrication applications, and structural/pillar construction.
Product specifications of ERW tubes:
- Size: OD 19mm to 101.60mm.
- Thickness: 1.5mm to 6mm.
- Strength: upto 600 NPa.
- Capacity: 3000 MT/month.
Assets Overview
Tangible assets.
- Approximately 4 acres of industrial land located in a prime industrial area.
- One ERW precision tube mill with an installed capacity of approximately 36,000 MT per annum.
- Slitting line/machine for processing steel coils for tube manufacturing.
- Complete set of tube manufacturing rolls/tooling covering sizes from approximately 19 mm to 101.6 mm OD.
- 1 crane of 35MT capacity and 1 crane of 5 MT capacity for material management.
- Existing JUSCO (TSUISL) 33 KVA power connection, along with the associated electrical infrastructure for plant operations.
- Manufacturing plant and shed spread across approximately 55,000 sq. ft.
- Associated plant machinery, material-handling equipment, lab testing equipment and other manufacturing infrastructure forming part of the operating facility.
Intangible assets:
- Established brand name and market presence, particularly in Eastern India.
- Existing customer relationships and business associations in the automotive, construction, fabrication and industrial sectors.
- Existing certifications and statutory approvals supporting the manufacture and supply of ERW pipes and tubes.
- Existing vendor registrations and customer approvals, facilitating continuity and expansion of business with approved customers.
- Established manufacturing know-how, operating processes and market relationships developed by the business.
Facilities Overview
- Land: 4 acres, leased from government for 99 years (56 years remaining).
- Built‑up area: 55,000 sq. ft.
- Location: Strategically situated in an industrial area.
Capitalization Overview
The business has been primarily promoter-funded since inception, with the promoters having invested over ₹45 crore through a combination of equity and promoter funding/debt, demonstrating significant long-term financial commitment to the business.
For working capital and day-to-day operations, the company currently has a cash credit facility of ₹7.5 crore.
The company currently has 3 promoter groups, each holding an almost 33.33% stake in the company's equity and debt.
Recent Activity
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1 Buyer contacted this Business this month. Register below to connect now!
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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