Consortium of investors led by The Campbell Group will pay state-owned ForestrySA more than AU$650M for rights to cut plantations in South Australia's Green Triangle, reports say

Audrey Dixon

LOS ANGELES , August 22, 2012 (Industry Intelligence Inc.) –

A group of investors led by The Campbell Group LLC (TCG) will pay more than AU$650 million (US$680 million) for the rights to cut timber plantations in South Australia, according to an informed source, reported The Wall Street Journal (WSJ) on Aug. 22.

TCG, a U.S. timberland investment advisory firm headquartered in Portland, Oregon, acquired the rights from state-owned ForestrySA.

The state does not plan to officially reveal the purchase price, which it called “very strong,” until the deal closes later this year, said South Australian Treasurer Jack Snelling, reported the WSJ.

Snelling had officially confirmed in May 2011 that more than 100 years of growth would be sold to private investors.

TCG has global management over timberlands spanning some three million acres and valued at more than US$5.2 million, according to its website.

The investors included in the South Australian deal include The Future Fund, Australia’s quasi-sovereign wealth fund, which had AU$771 billion in assets as of March 31, reported the WSJ.

The primary source of this article is The Wall Street Journal, New York, New York, on Aug. 22, 2012.
 

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