West Africa: FMO backs Miro Forestry
Posted on: 8 June, 2020 at 8:15 AM
Dutch development financier FMO has announced a transaction with Miro Forestry, one of the largest forestry plantations in West-Africa.
The transaction consists of a conversion of FMO’s existing $10 million mezzanine debt into a redeemable preference share funded by the Building Prospects Fund, and a further $5 million share funded by the Dutch Fund for Climate and Development (DFCD), which FMO manages on behalf of the Dutch government. CDC, Finnfund, and Mirova, amongst others, also participated in this financing package.
Miro develops timber plantations and at the same time conserves environmentally sensitive areas. Its total planted area consists of over 17,000 hectares of eucalyptus, acacia, gmelina and teak across Ghana and Sierra Leone. Having successfully planted and developed the plantation for over 10 years, Miro is building its industrial capacities as its forest will soon produce a strong and steady flow of wood to be converted into high value added products such as plywood and poles.
Andrew Collins, Miro’s chief executive officer said, “FMO has been an investor in Miro for a number of years and we are now delighted to have FMO invest further into the business. FMO has been a very strong partner to date and we look forward to further developing Miro with their support.”
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