UPM signed a contract to sell forest estates to Silvestica Green Forest Finland Oy. According to the announcement, the contract covers 6,877 hectares of forestry land located in Kajaani, Sonkajärvi and Sotkamo in Finland. The parties have agreed not to disclose the purchase price.
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 (FSC C 109750). For the time being the estates are PEFCTM certified.
Sauli Brander, Senior Vice President, UPM Wood Sourcing and Forestry, commented:
“We are glad to have Silvestica Green Forest Finland Oy as our customer. Silvestica Green Forest Finland Oy is an investor, who finds forest as a stable and responsible investment. They also value the long-term wood purchase and forest management agreement with UPM. For them the agreement ensures sustainable forestry practices and a steady income from wood sales.”
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.
Earlier UPM launched a new solution for the thin print market.
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. Silvestica owned companies will invest in forest estates in Sweden, Finland and the Baltic countries. The forests will be managed by CRK Forest Management AB.
The company is largely focused on fibre- and biomass-based businesses, recyclable raw materials and products. UPM integrates bio and forest industries and operates across six business areas: UPM Biorefining, UPM Energy, UPM Raflatac, UPM Paper Asia, UPM Paper ENA (Europe and North America) and UPM Plywood.