Battery Manufacturing Plant
Strategic Acquisition Opportunity | Himachal Pradesh, India
Total Investment
₹82 Cr
₹15 Cr Equity | ₹67 Cr Debt
Equity Stake Offered
30%
For ₹15 Crore Investment
Peak Revenue Potential
₹900 Cr
15% EBITDA (₹135 Cr)
Entry Discount
53%
vs ₹75 Cr Land Value
🛡️ Downside Protection: Land value alone = ₹108 Cr vs ₹82 Cr total investment (1.3x coverage). Built-up area: 3,50,000 sq ft with complete infrastructure.
Asset Overview
| Land Parcel | Area | Market Value | Remarks |
|---|---|---|---|
| Parcel A | 5.5 Bigha | ₹5 Cr | Entry point to asset |
| Parcel B | 14 Bigha | ₹28 Cr | — |
| Main Unit | 90 Bigha | ₹75 Cr | Acquiring at ₹35 Cr |
| TOTAL | 109.5 Bigha | ₹108 Cr | Total acquisition cost |
Revenue Opportunities
1. Cold Storage Rental
- Immediate cash flow
- ₹20/sq ft rental rate
- 1,00,000 sq ft potential
- ₹2.4 Cr annual run-rate
2. Li-ion Cell Assembly
- EV & ESS market focus
- NMC + emerging tech
- ₹900 Cr peak capacity
- 15% EBITDA margin
3. ESS for NTPC
- Grid-scale storage
- Government tenders
- 18-22% margins
- Project-based revenue
4. Generator Conversion
- Govt mandate: 15% conversion
- 20-200 KVA battery banks
- 25-30% equipment margin
- 60-70% AMC margin
5-Year Financial Projections
| Year | Revenue | EBITDA | Margin | PAT (est.) |
|---|---|---|---|---|
| Y1 (Ramp) | ₹80 Cr | ₹8 Cr | 10% | ₹4 Cr |
| Y2 | ₹250 Cr | ₹35 Cr | 14% | ₹18 Cr |
| Y3 | ₹450 Cr | ₹63 Cr | 14% | ₹35 Cr |
| Y4 | ₹650 Cr | ₹98 Cr | 15% | ₹55 Cr |
| Y5 | ₹900 Cr | ₹135 Cr | 15% | ₹78 Cr |
Assumptions: 6-month revamp period, gradual capacity ramp (10% → 100%), technology mix of 70% NMC Li-ion, 20% emerging tech, 10% R&D. Debt payback begins Year 2.
Competitive Advantages
42-Year Legacy
Established network in battery trading, manufacturing, and distribution with deep OEM & government relationships.
Established network in battery trading, manufacturing, and distribution with deep OEM & government relationships.
Technology Foresight
Early understanding of Aluminium-Air, Sodium-Ion, and Hydrogen Fuel Cells. Able to pivot as tech evolves.
Early understanding of Aluminium-Air, Sodium-Ion, and Hydrogen Fuel Cells. Able to pivot as tech evolves.
AI & Operational Excellence
State-of-the-art operations with AI-driven quality control, yield optimization, and predictive maintenance.
State-of-the-art operations with AI-driven quality control, yield optimization, and predictive maintenance.
Asset-Backed Security
₹108 Cr land value provides 1.3x coverage on ₹82 Cr investment. Multi-revenue stream reduces dependency.
₹108 Cr land value provides 1.3x coverage on ₹82 Cr investment. Multi-revenue stream reduces dependency.
Transaction Roadmap
| Phase | Timeline | Action | Capital Required |
|---|---|---|---|
| 1. SPV Formation | Week 1-2 | Establish Partnership firm | ₹12 Cr |
| 2. Auction Bid | Week 3-4 | Complete asset acquisition | ₹45 Cr |
| 3. Factory Revamp | Month 2-7 | Install machinery & systems | ₹10 Cr |
| 4. Operations Launch | Month 8 | Begin commercial production | ₹15 Cr |
Investment Opportunity
Strategic equity partnership for distressed asset acquisition
Amount
₹15 Crores
Ownership
Up to 30%
Structure
Partnership SPV
Target IRR
30%+ (5Y)
Use of Funds
Land Acquisition
Exit Options
Strategic / Buyback / IPO
✅ Asset-backed ✅ Discounted entry ✅ Multi-revenue streams ✅ Regulatory tailwinds ✅ Scalable to ₹900 Cr