Monday, 04 November 2013 09:30

Gunns assets are on the market

Written by 
Rate this item
(0 votes)

As receivers and managers of the Gunns group of companies, Mr Bryan Webster and Mr Mark Korda of KordaMentha, are today commencing an expression of interest (EOI) process for the Tasmanian forestry assets controlled by the group.

bell bay pulp ppwThe assets include 175,680 hectares of freehold land and road infrastructure, 96,850 hectares of premium hardwood and softwood plantations, a fully operational forestry services business that employs and contracts over 150 people and the opportunity to develop the proposed Bell Bay pulp mill.

Gunns was placed into administration on 25 September 2012.  Mr Webster and Mr Korda were subsequently appointed as receivers and managers by Gunns’ secured lenders.

Mr Webster said the sale was an excellent opportunity for interested parties to acquire a globally-significant, renewable plantation fibre resource together with associated infrastructure and the opportunity to develop a pulp mill.  The assets are well positioned to meet growing Asian woodchip and pulp demand.

“We believe there is significant value in the assets and to date there has been considerable interest in the various assets that are the subject of the EOI process” he said.

“We expect to understand the level of genuine interest in continuing the existing seed-to-port plantation woodchip business and/or development of the pulp mill opportunity once EOI’s are received.”

The plantation and landholding assets divestment is one of the largest of its kind in the world.

EOI’s are due by the end of the year.

Additional Info

For more info please download the attached fact sheet

Read 11819 times