The Forest Company - Payment of dividend and allotment of shares

Oct 03, 2011 17:32

St Peter Port, Guernsey, 3 October 2011

The Forest Company - Payment of dividend and allotment of shares

St Peter Port, Guernsey, Monday 3 October 2011 - The Forest Company Limited, a closed-ended investment company, incorporated and registered in Guernsey announces that, in accordance with the dividend declared by the Board on 20 April 2011, shareholders on the register on the record date of 20 April 2011 will receive a dividend of US$0.26 per Ordinary and Class A Ordinary share.  This dividend will be paid on Monday 3 October 2011.

Pursuant to the Circular and Form of Election regarding a Scrip Dividend Alternative, the following shares will be allotted on 3 October 2011 at an issue price of US$9.06 per share:

An application has been submitted to the Channel Island Stock Exchange ("CISX") to list 56,745 Ordinary shares and listing is expected to be effective on Tuesday 4 October 2011.

The issue price represents the Reference Share Price of US$9.32 cited in the Circular and Form of Election adjusted for the dividend paid on Monday 3 October 2011 of US$0.26, which adjustment has been made to maintain parity between the Dividend and the Scrip Dividend Alternative.

About The Forest Company:

The Forest Company combines socially and environmentally responsible forestry investments with unique potential for stable and attractive returns through participation in the value chain of competitive and sustainable industries.

The Forest Company Limited is a closed-ended investment company, incorporated and registered in Guernsey in 2007, in order to take advantage of investment opportunities in trees, timberland and timber related assets. The Company focuses on forest plantations in areas with high biological growth rates, such as Brazil and Colombia. As of Aug 19^th, 2011, The Forest Company has raised USD 262 million in equity capital through private placements to institutional investors and family offices. Thus far, the Company has committed capital to five projects, which include both greenfield and standing plantations located in Brazil and Colombia.

The Company aims to build a diversified timberland portfolio in terms of age, class and species that is intended to maximise the risk/return profile. The Company believes that this approach will generate both long-term capital appreciation for shareholders and an attractive and sustainable income yield. For more information, visit www.theforestcompany.se.

Timber Capital Limited is the investment manager to The Forest Company.

For additional information, please contact:

Vielcka D. Dutt, The Forest Company, +1 441 295 4736

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This press release is not for distribution, directly or indirectly, in or into the United States (including its territories and dependencies, any State of the United States and the District of Columbia), Canada, Australia or Japan. This press release does not constitute or form a part of any offer or solicitation to purchase or subscribe for securities in the United States. The securities mentioned herein have not been, and will not be, registered under the United States Securities Act of 1933 (the "Securities Act").

Securities may not be offered or sold in the United States except pursuant to an exemption from the registration requirements of the Securities Act.

This document is an advertisement and does not constitute a prospectus or offering memorandum or an offer in respect of any securities and is not intended to provide the basis for any decision in respect of The Forest Company Limited or other evaluation of any securities of Forest Company Limited or any other entity and should not be considered as a recommendation that any investor should subscribe for or purchase any such securities. Neither the issue of this document nor any part of its contents constitutes an offer to sell or invitation to purchase any securities of Forest Company Limited or any other entity or any persons holding securities of Forest Company Limited.

The Forest Company – Payment of dividend and allotment of shares