Business Opportunities Detail

Name	Outstanding Marine Business
Reference	MALB002
City	Thalang
Business Type	Leisure Marine Industry
Business Started in	1-1-2002
Number of Employees	n/a
Annual Revenue	n/a
Annual Owners Benefit (earnings before taxes and depreciation)	n/a
Furniture, Fixtures & Equipment included in the Investment Price	n/a
Inventory included in the Investment Price	n/a
Selling Price	250.000 USD
Reasons for Selling:
Other business development interests
Description:
INTRODUCTION Visayas 2002 Ltd Company Registered in the Kingdom of Thailand Reg No 3030551795 Trading as ‘Asia Marine Technik’ Address 65/6 Soi Taling Chan Ampur Muang Phuket 83000 Lawyers Jairaak Enterprise Ltd (Mr Eric Snyder) Address 65/6 Soi Taling Chan Ampur Muang Phuket 8300 Stephen Day is a power boat enthusiast. He spent twenty two years behind the controls of various jet airliners prior to taking early retirement and settling into a tropical life style in Phuket Thailand. Now living in Phuket on a permanent basis he was able to indulge his passion for boats and deep sea game fishing. He recognized very quickly the enormous growth of the leisure marine industry in this part of Asia and particularly in Phuket. He further realized the depth of skills available locally with regard to boat fabrication, engineering and general craftsmanship. These skills being employed within the refit environment of the Phuket marinas. Whilst there were one or two small facilities producing traditional and low quality build products, no one had recognized the potential of manufacturing a high quality offshore powerboat. With the assistance and drive of a group of local associates from the marine industry in Phuket, Stephen Day set up and funded ‘ Asia Marine Technik’ to produce the ‘Vantage 326’, a highly developed deep V off shore powerboat. It is this company which is for sale. The company was formed in 2002 but remained dormant until January 2005 PRODUCT OVERVIEW The ‘Vantage 326’ is a product that can carry an existing ‘Brand’ name with pride and confidence. It has both the styling and engineering capabilities to impress the most seasoned of production directors. Built to a proven design, utilizing SP Composite technology. The structure of the ‘Vantage’ product meets with US Coast Guard and Lloyds Register of Shipping approvals. Commercially it wins on both performance and production costs. * Maximizing Profit * Utilizing Thailand production benefits * Providing customer loyalty. PRODUCTION FACILITIES As can be seen from the photographs the production facility is a new purpose built unit of over 10,000 sq feet. The concrete base has a ‘clean sweep’ screed finish supporting circular steel columns rising to a steel section frame work. This in turn supports a Z section roof creating a well ventilated and modern factory environment able to operate day and night in all seasons. The building was designed and erected by a professional architectural team and one of the buildings benefits is that it is fully ‘demountable’. Other features include high quality sodium lighting, three phase power, security storage areas and office space. Staff facilities include toilets and wash area as well as basic living accommodation For six people. Location The factory is situated just off the main highway in the northern central area of Phuket known as Thalang. Ten minuets from Phuket International Airport, which in turn is one hour from Bangkok or 1 hour 20 minuets from Singapore or Kuala Lumpur. Launching, lift and mooring facilities are nearby at The Royal Phuket Marina, the Boat Lagoon and Yacht Haven Marina. Factory Lease The factory building is owned by the company The land that it is sited on is leased currently on a three year lease with one year to run. A further five year lease has been agreed providing a further six years at the time of writing. PRODUCTION Boat design and production have been undertaken through and in conjunction with SP Composites utilizing ‘Corecell’ A-Foam and laminate schedules. These schedules were specifically programmed for the Vantage 326 product. The companies design consultant Mr Jimmy Watt worked closely with SP Composites to ensure that the composite lay-up schedules met with the recognized international approval standards. These laminate and Corecell A-Foam schedules are available for inspection to interested parties. Fabrication of the hull and component sections of the vessel are by a hand lay-up procedure. The gel-coat being hand sprayed to the mould with glass fibre matting applied onto the gel-coat in accordance with the SP Composite laminate schedule. A ‘Corecell A-Foam’ structural foam core is then vacuum bagged into place. Thereafter further fibre glass matting is laid in accordance with the SP Composite Schedule. Note; SP Composite are a highly visible and respected company within the marine industry, with facilities in the United Kingdom, North America and Australia. Their Corecell A-Foam is a proven structural foam core material designed to reduce weight and increase performance of composite components. Its extremely high toughness when compared to other core materials makes it ideal in demanding applications. Over the years it has been used successfully in many racing boat hulls which often encounter high dynamic stresses. The companies’ materials and laminate procedures meet with international approvals. All other elements of boat completion, including stainless steel, engine installation and instrumentation are fitted at the factory to customer specification. The factory has sufficient space to produce at least two boats simultaneously with all of the tooling and equipment on site. This includes new moulds for lay-up production. Mould tilt tripod units. Lifting gantries with chain block lifting tackle. Arc welding set. Three cylinder compressor, and boat stand sets. The total list of items is very comprehensive and there is a detailed and itemized workshop inventory available to interested parties. THE PRODUCTION TEAM Design Jimmy Watt has thirty years experience in naval architecture and marine surveying in Australia and Asia. He is Lloyds of London accredited. He delivered the completed design on the mould tooling. Working in conjunction with SP Composites from their Mona Vale site in NSW Australia. Jimmy works on a consultative base to the company, but is passionately keen to remain involved with all aspects of production ongoing. He lives locally in Phuket. Production Director Aminaj Kongsawad Known as Ot, comes with fifteen years experience of GRP hand lay up procedures. Learning his skills through the re-fit industry in Phuket Ot has progressed from ‘on the hard’ yacht repairs through to complete boat production. He has particular skills in paint application and finishing. Ot is widely recognized as an expert in his field and has great respect from the Phuket boat services industry. He manages a loyal and capable team of operatives. Funding & Development Stephen Day As mentioned in the Introduction Stephen founded the company and has been involved in all areas of its conception and development. He now wishes to concentrate his time on his charter business, but is happy to remain on board to assist during a transition period, should a new owner require. MARKET APPRAISAL Phuket/Thailand The leisure marine market within Asia has seen substantial growth over the past five years. The pace of which has risen considerably within the past two years. In the region as a whole activity in all the marine sectors remains strong with evidence of increased growth over the coming years. Phuket has been at the heart of this growth with several new marina developments in hand providing much needed berths to enhance the continued development of vacation and long term housing. Much of the client base for these new properties coming from Hong Kong, Singapore, China and Australia. The fact that Phuket attracts such a high percentage of long term residents is one of the major factors in the increased volumes of ‘new’ boat sales. Whilst these sales range across the board in size and value, there has been a considerable increase in the sale of vessels in the ‘day boat/off shore’ category. Add to this the five star resort developments of the Phang Nga Bay Islands all of which require client service vessels. With this continued growth in tourism, particularly in the up market sector there is strong demand from the charter operators who now number some twenty companies. It is not difficult to confirm these trends when talking to the Agents and Brokers. New Day/Weekend Boats Sold in Phuket Type Name Location No New sold Period Yrs Broker Derani Boat Lagoon 16 2 Agent Go Boating Boat Lagoon 15 2 Thailand Agent Max Marine Thalang 9 1.5 Broker Lee Marine Boat Lagoon 25 2 Yacht Haven Broker Simpson Marine Boat Lagoon 8 1 Phuket - Imported Competition To Vantage 326 Manufacturer Boat Type Retail Price Del Period North Sea Boats X2K 5.6 m baht 4 months Indonesia Boston Whaler 270 Outrage 3.9 m baht 9 “ USA 320 Outrage 6.17 m baht 9 “ Gulf Craft Inc Sea Breeze 33 3.826 m baht 6 “ Dubai Dolphin 31w 3.00 m baht 6 “ Walk Around 31 3.73 m baht 6 “ Max Marine Formula O Pro 36 5.3 m baht 6 “ Bahrain Jeanneu Cap Camarat 925 5.36 m baht 5 “ France Asia Marine Tecknic Vantage 326 3.25 m Baht 3 “ Note: Vantage 326 retail price presents a 40% nett margin above finished ex works cost. All prices Shown exclude local Thailand VAT @ 7% There are other agents, brokers and boat builders in Phuket covering different sectors of the marine industry. This fact adds to the evidence relating to the growth for this region. Further evidence can be seen through the growth in the regions marine exhibitions. The product comparisons shown, cover a general ‘day boat/offshore power boat specification relating to the market for the Vantage 326. There are various technical, specification and cost differences where the Vantage product provides clear benefits for the customer against the imported products. Information to this effect can be provided for discussion with interested parties. The Vantage standard fit out specification to the listed retail price is as follows….. Hull, Deck and Transom to S P Composite Specification Centre Consul with Wind Screen & Storage Locker Forward Cuddy Cabin with Fitted Cushions 2 X Yamaha 200 2 Stroke Hydraulic Steering (High Drive) Steering Wheel 2 X Fuel Filters Sink in Cuddy Cabin Self Draining Deck Anchor Locker Manual Toilet Bow Storage Locker Side Storage Lockers Fresh Water Tank Stainless Steel Fuel Tank 800 L Forward Ice Box Stern Ice Box Stainless Steel Pop Up Cleats X 4 Stainless Steel Bimini with Sunbrella Cover Stainless Steel Bow Rail Stainless Steel Deck Fittings (fuel inlet-fresh water inlet-breathers) 2 X Batteries With Master Switch Master Switch Auto Bilge Pump Navigation Lights Compass Fresh Water Deck Wash/Shower Fresh Water Pump Warps X 2 & Fenders X 3 First Aid Kit Windscreen and Hatch Covers Various options and accessories are available to meet individual customer requirements. In terms of having a quality product to sell, Phuket on its own is justifiably a ‘quality market to be in’. Then there are the other locations around Thailand such as Pattaya, Samui, and Hue Hin all. With further volume sales potential throughout the Asia region The justification for ‘quality’ can be seen plainly from the level of imported boats advertised in the press and by the brokers and manufactures agents. There is no shortage of clients purchasing these products. Market Activity Asia Region The number of Marine events has grown over the past few years. Events such as the Singapore Boat Show at Sentosa Cove Marina will have over 140 exhibitors for the April 2007 event. The Bangkok International Boat Show will have more than 120 exhibitors from 19 countries. There are now also major Leisure Marine Industry events in China and India. As the event list grows so do the numbers of exhibitors and attendees. Phuket has its own International event. ‘Pimex’ is in its fourth year with the December 2006 event attracting 4000 visitors and 65 exhibitors. Publications have been launched on the back of the strong Asia Marine Industry which reflect the stature and esteem in which prime advertisers view the market. Publications such as Asia Pacific Boating and Sail Asia. MANUFACTURING ECCONOMICS ( Phuket ) There are a number of advantages to be gained by manufacturing within the Leisure Marine Hub of Asia….. The home base of Phuket and its surrounding region has an existing, proven and growing leisure boat market. A large and increasing section of the market is for high quality offshore power boats of a specification build as the AMT Vantage product. The location of Phuket has a sophisticated marine info structure providing services, allied materials and equipment. With the benefit of a deep sea port within Phuket town itself. There is both skilled and un-skilled labor available. Cost provision, in terms of overheads and labor have significant regional advantages over many other locations. Allowing for higher return on investment. The AMT Advantage As can be understood from the previous headings AMT is able to offer a fast track means to an existing boat production company wishing to enter the Asia market. With a quality product to brand ‘on the blocks’ and ready to go. An existing purpose built production facility with all that is required to build the product in the heart of the market place. High quality tooling design providing new moulds and all the requirements for immediate production. A skilled team of production operatives, directed by a highly experienced manager. A ‘turn key’ option for an experienced manufacturer or an opportunity to a financial investor to benefit from the start so far. The AMT Package Existing facility equipped and ready for production Tooling and all ancillary equipment for production Work force with manager trained and experienced First production boat finished and sold to local client and available for client sea trials and evaluation. FINANCIAL Audited accounts available for inspection Sale to include Factory Building Tools and Equipment as Inventory Vantage 320 Production Moulds

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