19 Jun 2011
LG advises international forestry investment company on $67 million placement and CISX listing
International business law firm Lawrence Graham LLP ("LG") has advised The Forest Company Limited ("The Forest Company") in relation to its third private placement with a value of $67 million and the listing of its ordinary shares on the official list of the Channel Islands Stock Exchange ("CISX").
The Forest Company is a Guernsey incorporated investment company established to provide shareholders with capital growth combined with a low risk profile through investing in sustainable new plantations, trees, timberland and timber-related assets globally.
The funds raised from this investment will be deployed in expanding the company's forest investment portfolio in Latin America, where the company supplies the growing forest and paper products industries. The latest fundraising represents a first closing of the company's current share offering and further closing are anticipated. In conjunction with the first closing, the company has also listed its ordinary shares on the CISX.
The LG Investment Funds team advising The Forest Company was led by Corporate partner John Reed.
He said: "The results of this first closing of the current offering validates the continued high confidence shown in The Forest Company's management team and investment strategy by both existing and new investors.
"The predictable long-term returns which can be generated from forestry investments, particularly in high biological growth areas such as Latin America, have considerable attractions for institutional investors. We look forward to working with the company in relation to further closings of the current offering in due course."
LG previously advised The Forest Company on its establishment and previous fundraisings, bringing the total capital raised to date to $243 million.