MT. PLEASANT, IA -- Batey, Ltd. has retained Equity Partners, Inc. to obtain sources of additional equity for, or to sell, two complementary wood processing businesses on adjacent properties. Batey has over 50 year's experience in the wood processing business, and operates a biomass facility and saw mill in the Mt. Pleasant, IA area. The company seeks a sale of its biomass facility, and will also consider selling its sawmill, together or as separate stand-alone businesses.
Doing business as Iowa Fuel Solutions, Batey’s biomass facility produces biomass fuel (wood pellets), fuel enhancement (for fossil fuel burning facilities), and animal bedding. Their custom built biomass furnace utilizes wood by-products as its fuel source, eliminating the need for fossil fuels in the drying process, providing a “green” benefit to the operation. As fossil fuel prices surge, the demand for alternative fuel sources continues to increase. This operation is uniquely positioned to not only produce and sell a wood by-product fuel source, but is also able to utilize wood by-products in the manufacturing process. The ability to produce animal bedding also helps diversify and expand the markets the company is able to serve.
Batey also operates a full service green saw mill, with the capacity to produce approximately 9 million board feet of grade lumber annually. In keeping with the ability to capitalize on the “green” benefit of using wood by-products as alternative fuel sources, a custom boiler system, fueled by green saw dust produced from the saw mill process was installed in the facility. This boiler is then used to run the steamer and two dry kilns, as well as provide heat to the operation when needed.
According to Hank Waida, a Partner at Equity Partners, Inc., “This is an excellent opportunity to invest in or acquire two complementary businesses. A financial buyer can enter into one or both businesses with a turnkey operation, or a strategic buyer can expand an established saw mill operation, and/or “green” biomass wood pellet and animal bedding operation.”
Equity Partners, Inc., headquartered in Easton, MD, provides investment banking services for companies and properties with unique difficulties such as financial distress, special financing needs, or partnership disputes, and has completed in excess of 350 engagements throughout the United States since 1988.
Source: Equity Partners, Inc.
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