Timber Sawmill & Processing Sale

Quick 100% sale, asking price $60,000. Plus M&A opportunities to invest around $5,000,000 into a larger neighboring woodworking ex-plant to recreate, develop and expand.

The company for sale is the belt sawmill and processing business for woodworking of 90 centimeter diameter logs. It makes boards, planks and construction materials.

Located in northwest region of Russia with rich sources of cheap timber. Close access to the railroad. Close access to the river 3.5-meter-depth terminal for shipment of timber. There is plenty of room to expand e. g. by adding capacity.

Company produced 10,000 cubic meters of sawn timber a year at full manufacturing capacity. The business employs 20 workers and runs 2 shifts.

Currently, the capacity utilization is 50 per cent. After tax profit is over 12 per cent.

Owned by 4 persons, the mill is running well, but it is a non-core business. This deal has the advantage of immediacy and simplicity.

Some companies are upgrading their mills to take advantage of the markets in the west. Sawmill owners have logged on to increased orders from the west.

Alternatively, the new owners could move up the value chain, manufacturing more advanced products.

Woodworking and processing business is always profitable in Russia.

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