Adamantem Capital is backing the merger of forestry companies PF Olsen and Forest360 that will create the largest independent forestry business in Australia and New Zealand.
Sydney-based Adamantem will invest an unspecified sum from its Environment Opportunities Fund to take around a 50% stake in the new entity. Tauranga-based Quayside Holdings (NZX: QHLA), which invested in PF Olsen in 2022, will retain its investment and will own around 25%.
PF Olsen manages more than 221,000 hectares of forest in Australia and more that 160,000 hectares in New Zealand. Forest360 manages around 100,00 hectares of forest in New Zealand and claims to be one of the country’s fastest growing forest management companies.
Once the merger is complete, the new management entity will have more than 1,000 clients including institutional investors, family offices, and private landholders.
The new business will provide end-to-end forestry services from raising seedlings and forest establishment to forest management and harvesting, plus consultancy.
The management team will be jointly led by PF Olsen chief executive Ross Larcombe, Forest360 managing director Dan Gaddum, and Forest360 director Marcus Musson.
Image: The new entity will manage forest assets for more than 1,000 clients.