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For Sale: Manufacturer of Paint Application Equipment for Glass Containers

This Company is a leader in its field, designing, building and installing specialised paint application plant for finishing glass containers for the packaging industry mainly in the beverage and cosmetics industries.  It provides a turnkey paint plant solution for customers from concept to commissioning.  The owner, a highly skilled engineer who is a specialist in his field, wishes to begin the process of retirement. 

Since 1995, the Company has supplied and installed over 50 machines in 20 or more countries across the World on most continents and is a leading player in its sector.  The beverage and cosmetics markets are large and growing as designers demand ever more innovative effects.  The unit sales value of the plant it supplies averages at about £550k but it can be over £1M.

 

The business is well known and respected by the key market influencers including the coatings manufacturers.  There are strong prospects for growth supplying machines to existing and new markets and there is also an opportunity to increase service income and sales of spares. 

The business has relatively low overheads, focusing on design, project management, assembly of bought in/specified components and installation and there 5 full time employees.  The business operates out of a c 60 sq m modern factory unit.   

Sales in the 2015/16 Financial Year were £1.7M generating an Adjusted EBITDA of c £180k.  The BREXIT vote had a temporary chilling effect and 2016/17 is expected to see sales down at £812k and more-or less breakeven Adjusted EBITDA.  Going forward an Adjusted Annual EBITDA of £150k to £160k is expected to be sustainable on sales of £1.65M and above. 

Machines are generally built under contract with stage payments which helps cash flow.

The Base Guide Price for 100% of the shares is £475k and in addition the owners will expect to share in ‘above base’ performance, linked to Annual Gross Profit, over the 3 years following Completion.  The vendor is prepared to stay on for a period of up to 2 years, on a part-time basis, to handover management control and to assist the new owners with technical and sales issues.  




If you would like to request further details about this opportunity please complete the form below and indicate your agreement to the Confidentiality Agreement.

CONFIDENTIALITY AGREEMENT

You are requesting Anderson Shaw Corporate Finance Ltd ('Provider'), in conjunction with its client ('Vendor'), to provide you with information about the Company/ies and/or Business/es referred to in the advertisement above. This information will usually comprise the identity of the Company/ies and/or Business/es for sale and may also comprise a Confidential Briefing Document and/or other relevant information about the Company/ies and/or Business/es ('the Information'). Before the Information can be sent to you ('Recipient'), you must indicate below for yourself and/or on behalf of the corporate entity/ies you represent your agreement to abide by the following terms:

Recipient agrees:

  • To keep confidential the Information which, for the avoidance of doubt, includes the identity of the Company/ies and/or business/es for sale.
  • To use the Information only for evaluation purposes.
  • To share the Information only with fellow directors and/or retained professional advisers who will be deemed to have agreed to the terms of this agreement.
  • To return all the Information on demand to the Provider or the Vendor and not to retain any copies.
  • On demand to provide a hard-copy, signed version of this agreement from today’s date.

This Agreement will:

  • Terminate with the written consent of both parties or in any event after 2 years from today's date.
  • Not apply to any of the Information found to be in the public domain.
  • Not apply to any of the Information which is published or otherwise becomes part of the public domain through no fault of the Recipient.
  • Not apply to any of the Information which is already known to the Recipient.

In most cases, if the Vendor approves the release of the Information to you, you will be asked to sign a separate, longer form, Non-Disclosure Agreement which will replace this Agreement.


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