Seven bids expected to be submitted for assets of failed Australian forestry company Gunns by March 31 deadline, but not all of them include offers for proposed pulp mill project, says receiver KordaMentha

Debra Garcia

LOS ANGELES , March 28, 2014 (Industry Intelligence Inc.) – Not all of the bids to be submitted for assets of failed Australian timber company Gunns Ltd. include the proposed pulp mill project, according to the receiver KordaMentha, reported The Examiner on March 27.

The bids are due on March 31 and all seven of the parties now involved in due diligence are expected to submit a final bid, said Michael Smith, spokesperson for KordaMentha.

KordaMentha is not revealing the identities of the parties involved but did indicate that the bidding had drawn interest from the Americas, Europe and the Asia Pacific region, The Examiner reported.

Prospects for the pulp mill project got a boost last month when legislation passed to quash any legal challenges to the permits. The majority Liberal government is also supportive, said Deputy Liberal leader Jeremy Rockliff.

The sale process, including determining if the pulp mill project will be sold, is expected to take another two to three months. A preferred bidder will be chosen to continue negotiations, said Smith, reported The Examiner.

The assets include the proposed pulp mill permits and site in Bell Bay, Tasmania, and 96,850 hectares of hardwood and softwood plantations.

The primary source of this article is The Examiner, Launceston, Tasmania, Australia, on March 27, 2014. Click here for full version of the primary source's article.

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