Location:
Sydney - Greater > New South Wales
Investment level:
$5,000,000
Type:
Business
Industry:
Commercial Services > Manufacturing, Wholesale & Distribution
Gain access to a substantial opportunity in the profitable VSD sector. This acquisition presents strong growth potential, backed by an experienced team and a solid market position.
BUSINESS OVERVIEW
Invertek Drives Australia is a respected supplier of Variable Speed Drives (VSDs), with over 35 years of experience. The company seeks to acquire AUD $5 million for full ownership. Their focus on energy-efficient VSD technology aligns with international and domestic demands for improved energy efficiency. This mature business has consistently delivered substantial annual gross profit and operates within a burgeoning $39.67 billion global market. With a solid asset base, this venture offers a compelling investment proposition in a high-margin manufacturing sector.
MARKET OPPORTUNITY
In Australia, the necessity for energy-efficient solutions is becoming paramount as companies strive to meet regulatory requirements for carbon emissions reduction. The VSD market is evolving rapidly, driven by growth in key sectors including industrial automation and HVAC. With an anticipated compound annual growth rate of approximately 5.2%, now is a prime time to invest and take advantage of an expanding market.
FINANCIAL PERFORMANCE
Operating on an efficient business model, the company boasts gross margins higher than 50%. With inventory levels between AUD $1.0-1.5 million, the business demonstrates financial soundness and operational consistency. Investors will find significant potential for scaling the operation across national markets without requiring additional capital beyond the acquisition funds.
GROWTH STRATEGY
The investment will enable the establishment of a branch network across Australia. The initial focus will be on the high-potential markets of New South Wales and Victoria. Planned marketing initiatives, existing customer relationships, and product innovations will drive growth, alongside direct exports to emerging markets. All expansion prospects will be self-funded.
TEAM EXCELLENCE
The skilled management team brings significant experience in the energy efficiency sector, demonstrating a consistent ability to grow businesses. This expertise sets the groundwork for continued success and market leadership.
RISK MITIGATION AND INVESTOR BENEFITS
Despite typical market risks, the company benefits from a strong market presence, exclusive distribution rights, and deep-rooted customer connections. Investors are positioned to engage with a profitable entity benefiting from a self-sustaining growth model.
Contact us via Seek Business or Log in for detailed information and confidential financials. Visit www.bizdealroom.com and reference Listing ID: BIZ782G1016. For inquiries, call 1800 858 696, available 24/7.
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