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Glued laminated Timber House Manufacturing Business

Glued laminated Timber House Manufacturing Business
Country
RussiaRussia
Listing ID
L#20250965
Target Price
$5,660,138
Revenue
$6,289,042
EBITDA
$1,257,808

Description

This is an established and operating business specializing in the manufacture of prefabricated glued laminated timber houses. The seller is also open to selling a minority stake to a strategic partner in order to increase working capital and expand production capacity.

Operating at a federal scale, the company supplies house kits across Russia—from the western regions to the Far East—as well as to Central Asia and other international markets.

Products

  • Kits for assembling houses from glued laminated timber (the company also builds prefabricated houses from kits, as well as cottage villages)
  • Half-timbered timber
  • Finishing elements
  • Mouldings

Production

  • Full production cycle: board drying, processing, manufacturing.
  • Large production site.
  • Total production area: 75.5 thousand m2, industrial buildings 11,000 m2, office building 1,394 m2.
  • Land and premises are owned.
  • CNC equipment.
  • Own utilities and full infrastructure.
  • Productivity up to 40,000 m2/year (>1,200 m3 of glued laminated timber house kits per month).
  • The production facility is registered with the Ministry of Industry and Trade of the Russian Federation.
  • The facility has all the necessary production certificates.
  • The company's products received a European certificate in 2019 SE.

Sales

  • Sales throughout Russia, the CIS, and abroad.
  • Sales offices in Moscow, representative offices in Russia and abroad.
  • Dealer network, franchise, and retail sales.

Market Status

  • The wooden house market is expected to develop as a driver of domestic timber consumption.
  • According to various estimates, the share of low-rise housing construction ranges from 40 to 70% of the total housing construction market in Russia. It is growing year after year due to the development of infrastructure outside the city, delivery services, and remote work.
  • At the same time, the share of organized low-rise housing construction is approximately 10% (or 4-5% of the overall housing market).
  • The volume of construction of wooden houses from glued laminated timber in Russia alone is approximately 11,200,000 square meters (₽1,164,000 million).
  • The balance of foreign trade in wooden house kits has shown a steady upward trend. The market is actively developing towards Asia and America.
  • Due to rising prices for construction and building materials, glued laminated timber has become one of the most effective and cost-effective technologies for building finished housing.

Competitive advantages

  • The company uses its own sorting system for incoming lumber, which allows it to produce products in various price categories.
  • Using a unique technology for additional sorting of timber plots allows for the industrial production of premium knot-free timber with increased temperature resistance.
  • Recycling waste ensures efficient raw material consumption and low cost.
  • An in-house laboratory ensures high product quality.
  • CE and ISO quality management system certification.

Prospects Development

  • Possibility of further expansion through increased working capital and product diversification.
  • There is potential for deeper cost optimization and increased margins.

Basic Details

Listing ID
L#20250965
Country
Russia
Industry
Manufacturing
Deal Status
Available
Target Price
$5,660,138
Revenue
$6,289,042
EBITDA
$1,257,808
Revenue Multiple
0.9x
EBITDA Multiple
4.5x

M&A Middle Market Advisory Deal Tombstones 2024

AdvisorDeals
MergersCorp M&A International21
Keith Advisory17
GCG9
JP Morgan41
Jefferies23
Lazard26
Goldman Sachs30

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