NEW FOREST COMPANY (TANZANIA) LTD.Status: Approved investment
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The information as disclosed is indicative and provided on an "as-is/as available" basis for general informational purposes only and should not be construed as financial, legal or investment advice, nor as a commitment or an offer to arrange or provide any financing. The final decision to provide financing is subject to the terms and conditions of FMO in its sole and absolute discretion. When providing links to other sites, FMO bears no responsibility for the accuracy, legality or content of the external site or for that of subsequent links. The information on proposed investment for high-risk investments is made available in the language relevant to the country or region where the bulk of operations take place. Translations of any information into languages other than English are intended as a convenience for local stakeholders. In case of any discrepancy, the information provided in English will prevail.
Who is our customer
Over the past 10 years The New Forests Company has built up strong presence in the East African Forestry sector where it has been supplying the pole sector predominantly through 3rd party supplies. In parallel it built up a strong land bank of 51,744 hectares and grew the size of its plantations to a total of 26,656 hectares. Own harvestings are nearby and will provide sufficient cash flows to service debt commitments.
What is our funding objective?
The FMO commitment is strictly for the purpose of financing the Ugandan and Tanzanian operations and allocated for working capital, capex and refinancing.
Why do we fund this investment?
Impact created through Forestry investments is high and three fold: highly inclusive, great impact on Green House Gas (GHG) avoided and a large economic benefit. The fact the New Forests Company has brought the company to the moment of harvesting FMO gained substantial comfort to offer its first senior debt commitment to a Forestry related project.
- Tanzania, United Republic of
- Agribusiness, Food & Water
- Effective date
- Total FMO financing
- USD 5.00 MLN
- FMO NV
Risk categorization on environmental and social impacts, A = high risk, B+ = medium high risk, B = medium risk, C = low risk
Environmental & Social Category
(A, B+, B or C)