Wood Products Company Investment Opportunity in Tartu, Estonia

- The company specializes in the production of sawn timber and is looking to expand into Cross-Laminated Timber (CLT) manufacturing. The aim is to add more value to each log cut from the forest.
- currently operating at a loss and is seeking funding to establish a new CLT factory, which presents an opportunity for investors to support a turnaround strategy. The demand of CLT is expected to increase by 2 MLD dollars by the end of this decade, as itis being used extensively in construction.
- Mixing sawn timber that is produced by the company with sawn timber that is sourced outside, creates a more reliable supply chain and decreases costs.
- More value could be added by creating in-house team of architects and counselling experts.
-Serves a total of 40-50 clients, primarily in the construction sector, with 2-3 repeat clients ensuring a stable revenue stream.
- While predominantly serving clients in Estonia, we also supply to clients in Europe and the UK, highlighting its potential for geographic expansion.
-This is a family business with the promoter having 8 years of experience.
- The company holds an FSC® certification, ensuring that all materials sourced for production are procured ethically and sustainably, appealing to environmentally conscious investors and clients.
- The company is equipped with semi-automated machines, allowing for efficient production with minimal labor hence only has 10 employees.
- The timeline for setting up the new CLT factory is estimated at 2 years, with a financial sketch already in place, providing investors with a clear roadmap.