Klabin SA to Enter into Joint Venture Agreement with Timberland Investment Management Organization
August 04, 2019
Share
Klabin SA has agreed to enter into a joint venture agreement with Timberland Investment Management Organization (TIMO) to form Sapopema Reflorestadora SA, to explore forestry activity in the state of Parana, southern Brazil. The identity of the TIMO (an investment fund in the forestry activity) was not disclosed. Klabinâ's contribution to the joint venture was the concession of 8,000 ha of planted pine forests in the state of Parana. The TIMO, in turn, contributed with BRL 325 million in cash, which will be invested in the acquisition of land, forestry development and working capital for the association. Klabin will have a right of first refusal in the acquisition of the forestry production of Sapopema. Pinheiro Guimaraes Advogados is acting as the legal advisor to Klabin SA. Closing of the transaction is still subject to regulatory approval in Brazil. The new joint venture is to explore forestry activity in the state of Parana, southern Brazil.
Klabin S.A. and its subsidiaries operate in segments of the paper and pulp industry, supplying the domestic and foreign markets with wood, packaging paper, paper sacks, corrugated cardboard boxes and pulp. The Company's segments include Forestry, Paper, Conversion and Pulp. The Forestry segment involves operations relating to planting and growing pine and eucalyptus trees to supply its plants, and involves selling timber to third parties in the domestic market. The Paper segment involves the production and sale of cardboard, kraftliner and recycled paper rolls in the domestic and foreign markets. The Conversion segment involves the production and sale of corrugated cardboard boxes, corrugated cardboard and industrial sacks in the domestic and foreign markets. The Pulp segment includes the production and sale of short fiber bleached pulp, long fiber bleached pulp and fluff pulp in the domestic and foreign markets. The Company has over 20 industrial units in Brazil and Argentina.
KLABIN S.A. 
