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Rice Mill Equity Stake For Sale in Sattenapalle, India

Established 12-year-old rice mill seeks investment to install advanced color sortex machinery and increase production.

Established 10-20 year(s)
Employees 5 - 10
Legal Entity Sole Proprietorship/Sole Trader
Reported Sales USD 100 - 200 thousand
Run Rate Sales USD 190 thousand
EBITDA Margin 0 - 10 %
Industries Rice Mills
Locations  Sattenapalle
Local Time 6:34 AM Asia / Kolkata
Listed By Business Owner / Director
Status Active
Overall Rating
Partial Stake Sale
USD 26.5 thousand for 20.0% stake (Native Currency: INR 2,500,000)
Reason: The investment will be utilized to replace outdated machinery with modern, high-efficiency rice mill... View More
Includes physical assets worth USD 106 thousand
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Business Overview
- Rice milling business operating for 12+ years and we're looking for investors to modernize our facility and upgrade to color sortex (optical sorters/ colour sorter) technology.
- Our mill operates without using steaming, allowing us to sell top-quality rice grains directly to customers at our outlet stores.
- We're located in a prime area known for high paddy yields, which means we have a consistent supply of raw materials straight from local farmers.
- We’ve built strong relationships with local farmers, ensuring we didn’t have to deal with middlemen, keeping costs low and profit steady.
- Our dedication to maintaining a high reputation in the region has led to a loyal customer base and consistent profitability over the years.
- Currently producing at a capacity of 2.5 tons of paddy per hour, which in turn produces 7,500 kg of rice per day, as we have already started installing new machinery for production.
- We minimize waste by using leftover rice by-products as feed for our dairy farm, ensuring nothing goes to waste.
- Currently, the traditional setup generates a monthly income of INR 15 lakh. Post-modernization and after the new machinery are fully established, the monthly income is projected to exceed INR 45 lakh due to increased efficiency and output quality.
- Growth potential & market opportunity:
The Palnadu region is a hub for high-quality paddy. By upgrading to sortex technology, we can produce "premium grade" rice which commands a much higher market price (an additional INR 200-300 per quintal). This modernization will allow us to tap into the wholesale markets of Guntur and Vijayawada and potentially partner with exporters.
Products & Services Overview
Our business supplies rice grains by removing them from their husks without using the steaming process, to our wholesale buyer network.
Assets Overview
Tangible assets:
- Owned land (majority of the asset value around INR 60 lakh)
- Rice mill building infrastructure,
- Modern milling machineries currently being installed.

Intangible assets:
- 12+ years of market experience,
- Trusted regional goodwill,
- Established network of paddy suppliers.
- Trade license.
- Labour licence.
- Udyam certificate.
- Panchayat tax license.
- GST incorporation certificate.
The FSSAI license application has been submitted and is still awaiting approval.
Facilities Overview
The business operates on fully owned land which is (27 cent) i. e. , 11,761.2 sq. ft with a dedicated rice mill building infrastructure, strategically situated in a high-paddy-yielding belt, Nagavaram (near Sattenapalle), Palnadu District.
Additionally, a separate owned dairy farm unit is located within the same business premises where wastage of the rice mill is mixed with water to create a mixture for the cows' feed.
Capitalization Overview
The business is 100% self-funded with no outstanding loans or debts.
Sole proprietorship.
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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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