Opportunity to invest in Designer and Manufacturer of Electrostatic Powder Coating Equipment

Business Description

The company has been in the business of designing & manufacturing powder coating equipment since 1979, with the focus of the company being powder spray application equipment. It is one of the only companies globally to offer the entire spectrum of powder application equipment and has achieved a strong worldwide reputation as a niche quality player in the industry. Its major strength lies in its very quick development of new products and its flexibility & adaptability to a changing environment. Its long-standing experience has resulted in in-house research and development which has in turn led to creation of trendsetting products and is thus the backbone of quality manufacturing. The company’s employees have during the past years obtained various Indian and U.S. patents and patent pending and company is also the owner of various trademarks and has the Top Indian companies as its customers.
Market Information - The powder spray equipment market is rapidly growing, both in India and Globally. Powder Coating offers many benefits such as higher durability, resistance to weather, corrosion, scratches & other wear and tear. The megatrend towards environmental consciousness is a huge boost for the industry. Powder Coating unlike traditional coatings does not use solvents or volatile organic compounds which harm the environment. There is no waste as all over-sprayed powder is recovered and able to be reused unlike paint coatings where all the overspray is wasted. Owing to this Powder Coating will get a large boost as more countries adopt stricter environmental regulations. New applications for powder coating are constantly being developed such as wood coating and automobile exterior coating which should further improve market outlook.

Reason for Selling

The technocraft promoter is looking to exit the business after successful running for several years. He is willing to remain actively invoolved for a couple of years for hand holding with the process, customers, vendors, etc.

Legal Constraints

None

Key Financials

  • Revenue Target: EUR1.00

Additional Information

**Transaction types considered**
The investor will initailly invest in a startegic stake, with a right to buy upto 100% over 3 to 5 years

**Main Products**
Manual and automatic powder spray equipment

Nilesh M Kapadia

Partner
NMK & Co LLP Chartered Accountants