Nelson Forests Joint Venture to Sell New Zealand Assets
NELSON, New Zealand, Feb. 12 /PRNewswire-FirstCall-AsiaNet/ --
The Nelson Forests Joint Venture today announced its intent to sell its New Zealand assets.
The assets are jointly owned by Nelson Forest Products Company, a subsidiary of Weyerhaeuser Company, and RII New
Zealand Forests I, Inc., a timber investment fund advised by Global Forest Partners LP. The operations of the Joint
Venture are managed by Weyerhaeuser New Zealand, Inc. The assets include approximately 67,000 productive hectares of
plantation forests in the Nelson/Marlborough region and the Kaituna sawmill at Renwick, which has a log input capacity
on a single shift of 80,000 cubic meters annually.
"New Zealand is an important component of a diversified international timberland investment portfolio," said Michael
Edgar, Director of Asia Pacific Investments, Global Forest Partners LP. "The decision by the specific investor clients
of GFP in the Nelson Forests Joint Venture to realize the value of their investment after a holding period of over 14
years does not represent a change by GFP in its view of New Zealand as an attractive forestry investment location. In
fact, the vast majority of our global funds and separate accounts include at least one New Zealand investment within
their portfolio."
"With the current Joint Venture agreement set to expire later this year, we reviewed our options and determined to seek
a buyer for these assets," said Gary Drobnack, vice president of Weyerhaeuser Forest Products International. "The Joint
Venture will continue to focus on meeting customer needs during the sale process and will work with the buyer to ensure
smooth transition. It is also important to note that the employees and contractors working for the Joint Venture have
made significant contributions to the success of the Joint Venture and will be an asset to any potential buyer." The
Joint Venture also announced that it has engaged Cameron Partners to assist in the sale process.
ENDS
Web site: http://www.weyerhaeuser.com