A company engaged in the development and production of flow and heat meters

Czechia

listing nr.: 240024

Photo is illustrative
Valuation Negotiable
Net debtNet debt is an indicator of a company's indebtedness. It is expressed as the amount of the interest-bearing loan minus the cash in the company.
574 000 €
Revenues Revenues express the total annual volume of the company's performance, which the company obtained through the sale of goods and services during the accounting period.
911 000 €
HistoryDuration of business operation.
20+ years
EBITDA EBITDA is a financial indicator of the company's operational performance. Annual EBITDA is expressed as earnings before interest, taxes and depreciation in a given year.
-59 000 €
EmployeesThe number of employees employed in the company on a permanent employment contract as of the date of publication of the offer.
25

Basic information

The subject of sale is an established company engaged in the development and production of flow and heat meters with a long history. The acquisition opportunity will be realized by acquiring a 100% share in the company. The reason for the sale is the planned retirement of the owner.

The company was founded in the nineties and is among the leading European leaders in the development and production of quality flow and heat meters. The company has a wide range of products in this segment, in addition to flow meters, the company is also strong in the production of various systems for measuring heat and cold. The company also offers calibration services in its own authorized metrology center.

The company’s current equipment and premises allow to ensure a complete process of small-scale production, which includes production, testing, calibration, as well as document verification of final products ready for distribution. The company maintains a reputation for high quality, which makes it known worldwide and exports its products within the water management, energy, food and chemical industries.

The company’s products are distributed to world markets through a diversified and stable portfolio of B2B partners. A significant competitive advantage and strength of the company is the number of research and development projects that the company has implemented during its long history. The company is intensively focused on the innovation of existing and the development of new technologies in the field of electromagnetic and ultrasonic meters. As part of these projects, the company has developed almost 20 original products, 5 of which are among the top electromagnetic flowmeters.

The company currently has a stable team of 50 professional employees with no tendency to turnover. The turnover of the company in recent years reaches the range between 23.0 – 24.5 million CZK. The negative EBITDA is a consequence of development costs, as the company plans to introduce new products, while in recent years it has invested considerable resources in development at the expense of the achieved profit. The long-term loan that the company has is of an investment nature, primarily used for the development of the company.

The current owner has successfully built the company for many years and turned the company into one of the most respected players on the market in its field. From this transaction, he expects to evaluate his long-term efforts, while the key for him is to find a suitable and sufficiently strong strategic investor who will be able to take advantage of the company’s unique position on the market and will be able to develop it further.

Unlike other acquisition opportunities, where the value of the company is primarily determined by the short-term profitability of the investment, in this opportunity the value is created mainly by own technological knowledge and know-how, which represent a great competitive advantage. Thanks to this a strategic partner or investor can quickly get into interesting segments of the world market, especially the measurement of liquid flow, volume and heat and cold energy in liquids without a long and expensive process.

Tangible property

  • equipment of production areas
  • metrological center
  • equipment for calibration and verification of liquid flow meters

Intangible assets

  • diversified and stable portfolio of B2B partners
  • stable team of trained and highly experienced employees with no tendency to turnover
  • a wide range of products and services provided at a high level
  • relevant authorizations, certifications and licenses
  • own research and development

Real Estate in Property

  • 2x production site

Employees

  • number of employees: 25

Indebtedness

  • a bank loan of about CZK 14.5 million 

Total annual sales

  • 2021: CZK 24.0 million
  • 2022: CZK 24.5 million
  • 2023: CZK 23.0 million

Annual normalized EBITDA

  • 2021: CZK -0.1 million 
  • 2022: CZK 2.7 million
  • 2023: CZK -1.5 million 

Note: Normalized EBITDA was calculated as the operating result before tax, adjusted for depreciation, interest expense and revenue from the sale of DHM.

Other information

  • History: 30+ years
  • Reason for sale: older owner
  • Legal form: s.r.o.
  • Subject of sale: 100% of shares in s.r.o.
I am interested

Ing. Tomáš Šuverík

managing director

+420 731 788 155
suverik@inbase.cz

If you are interested, contact us!

We will be happy to provide you with more detailed information after signing a non-disclosure agreement (NDA).