UPM has signed a contract to sell forest estates to Silvestica Green Forest Finland Oy. The contract covers 6,877 hectares of forestry land located in Kajaani, Sonkajärvi and Sotkamo in Finland. In addition, the parties have signed a separate long-term wood purchase and forest management agreement.
Silvestica Green Forest Finland Oy is committed to certify the estates according to FSC® and to join the UPM managed FSC group certificate. For the time being the estates are PEFCTM certified. The parties have agreed not to disclose the purchase price.
“The forests now acquired are very nice mostly high quality pine forests in their most productive age classes meaning a good value growth,” says Rickard Lehmann, Chairman of the board, Silvestica Green Forest Finland Oy.
The forests will be managed by CRK Forest Management AB with CEO Rickard Lehmann in charge of forest activities and reporting to investors.
UPM has regularly sold its forest assets as part of developing its real estate portfolio. At present, UPM owns approximately 640,000 hectares of forestry land in Finland.
Silvestica Green Forest Finland Oy is owned by a Swedish company Silvestica Green Forest AB, which is an investment fund for institutional investors founded in spring 2017 by SEB, the leading Nordic financial services group.