Gresham House secures Australian forestry mandate
Gresham House plc
("Gresham House" or the "Company")
Gresham House secures Australian forestry mandate
Gresham House is pleased to announce that it will be appointed as asset manager for a 24,800-hectare Australian forestry investment, Green Triangle Forest Products (GTFP), which AXA IM Alts has agreed to acquire, subject to regulatory approval, on behalf of clients. Gresham House also acted as the advisor for AXA IM Alts in relation to this transaction.
The appointment as asset manager is in line with Gresham House's strategy to grow its international presence. The scale of the additional assets under management and associated net income is likely to lead to the Directors raising their financial expectations, and the Company will provide further guidance on the financial impact of the project upon completion, which is expected at the end of Q4 2021.
The Australian mandate follows Gresham House's appointment by AXA IM Alts in 2019 as the asset manager to a 4,074-hectare portfolio of forests in Ireland and will see the international relationship between the two managers strengthened. Gresham House is the UK's largest commercial forestry manager, harvesting approximately 10% of the UK's softwood annually and managing c.140,000 hectares, worth more than £1.8bn.
Comprising 22,200 hectares of productive area in the Green Triangle, which spans South Australia and Victoria, GTFP demonstrates high-growth rates for softwood and is a significant supplier of softwood logs to the Australian sawmill industry. With a long operating history, favourable terrain, and proximity to customers, GTFP has prime access to domestic and export markets.
David Gardner, CIO of Forestry at Gresham House Asset Management, says: "This second asset management appointment by AXA IM Alts to manage its growing forestry portfolio strengthens our position in the sector, at a time when international demand for forestry is taking off and is in line with Gresham House's ambitions to launch an international forestry strategy for clients. Not only does forestry satisfy ESG investment criteria, but it is also a portfolio diversifier and delivers uncorrelated returns that protect against inflation - characteristics that are particularly appealing in the current environment."
Commenting on the new mandate, Tony Dalwood, Chief Executive of Gresham House plc, adds : "As the UK's largest commercial forestry investment manager, this significant appointment marks another substantial step forward in our ambition to develop a long-term international asset management platform in real assets. We believe there is a significant investment opportunity in forestry and this area will continue to be a key focus for Gresham House moving forward, as we look for further ways to add value for our clients."
This announcement contains inside information for the purposes of the Market Abuse Regulation (596/2014/EU).
ENDS
About Gresham House Forestry
Gresham House has been managing commercial forestry assets in the UK, Ireland, the Baltics, and New Zealand on behalf of a range of investors, including institutions, family offices, private clients, and funds for over 40 years and currently manages c.140,000 hectares worth over £1.8bn (as at 31 December 2020).
Our team of 30 dedicated forestry professionals have unparalleled experience and depth of resource in all areas of international forestry investing and carbon markets, including Acquisition, Fund & Client Management, and Asset Management (silvicultural experts).
About Gresham House
Gresham House is a specialist alternative asset management group, dedicated to sustainable investments across a range of strategies, with expertise across forestry, housing, infrastructure, renewable energy and battery storage, public and private equity.
Founded in 1857, Gresham House is one of the oldest companies in London, while our focus is on the future and the long term. Quoted on the London Stock Exchange (GHE:LN) we actively manage c.£4.7bn of assets (as at 30 June 2021) on behalf of institutions, family offices, charities and endowments, private individuals, and their advisers. We act responsibly within a culture of empowerment that encourages individual flair and entrepreneurial thinking.
As a signatory to the UN-supported Principles for Responsible Investment (PRI), our vision is to always make a positive social or environmental impact, while delivering on our commitments to shareholders, employees, and investors.
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For more information contact:
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Gresham House plc
Tony Dalwood, Chief Executive Officer Kevin Acton, Chief Financial Officer
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+44 (0)20 3837 6270
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Houston - PR advisors
Alexander Clelland Kay Larsen |
gh@houston.co.uk +44 (0)20 4529 0549
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Canaccord Genuity Limited - Nominated Adviser and Joint Broker
Bobbie Hilliam Georgina McCooke
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+44 (0)20 7523 8000
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Jefferies International Limited - Joint Broker and Financial Adviser
Paul Nicholls Max Jones |
+44 (0)20 7029 8000
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