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Tree Farm Investment Opportunity in Balangoda, Sri Lanka

High-value agarwood plantation producing premium oud oil and wood, seeking joint venture for global expansion.

Established 10-20 year(s)
Employees 5 - 10
Legal Entity Private Limited Company
Reported Sales Nil
Run Rate Sales Nil
EBITDA Margin Nil
Industries Tree Farms + 1 more
Locations  Balangoda
Local Time 2:42 AM Asia / Colombo
Listed By Business Owner / Director
Status Active
Overall Rating
Partial Stake Sale
USD 500 thousand for 25.0% stake (Native Currency: USD 500,000)
Reason: Seeking investment to capitalize the business as it enters its revenue phase, with high global deman... View More
Includes physical assets worth USD 250 thousand
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Business Overview
- The business specializes in cultivating agarwood and extracting oud oil, both highly sought-after commodities in the fragrance and luxury goods industries.
- Located on a well-established plantation, the business has been cultivating agarwood for over 12 years, a necessary timeframe as the trees require a lengthy maturation period.
- Currently in the pre-revenue stage, the enterprise is projected to begin harvesting in 2 years, which will transition the business into its revenue-generating phase.
- With a minimum expected valuation of $4 million, the venture presents a high potential opportunity for investors seeking significant returns.
- The business strategy focuses primarily on exporting products, serving international markets where demand for high-quality oud oil is robust.
- By adopting a wholesale and white-label production approach, the enterprise intends to collaborate with brands globally, offering flexibility and diverse market reach.
- Business operates with a valid Certificate of Incorporation. Other industry-specific licenses and certifications can be obtained at the time of production.
- Investors can anticipate a promising return on investment (ROI) projected at 4-5 times, signaling high profitability potential upon successful harvest and oil extraction.
- Seeking a joint venture, the sole owner aims to leverage partnerships to maximize production efficiency and market penetration.
Products & Services Overview
Cultivation of agarwood and the production of high-value oud oil and wood, targeting premium fragrance and luxury markets in the Middle East, China, and Singapore.
Core products will be oud oil and agarwood chips, which are in high demand among perfume manufacturers, cosmetic brands, incense producers, and high-net-worth individuals seeking rare and premium aromatic goods.
The business model includes wholesale and white-label offerings, allowing international fragrance houses and luxury brands to integrate the products into their own lines.
Assets Overview
Physical assets includes own plantation of 3 acres which is valued at ~USD 200k and oil extraction equipment worth USD 50k.
Facilities Overview
Own facility spanning 3 acres with a plantation and oil extraction facility, located in Balangoda.
Capitalization Overview
Self-funded.
No outstanding loans.
There is 1 owner in the business.
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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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