Suzano announces acquisition of 8 companies with forestry assets for US$ 667 million

Suzano informs that it has entered into a share purchase and sale agreement with the Investimentos Florestais Fundo de Investimento em Participações Multiestratégia for the acquisition of eight companies for US$ 667 million.

The amount will be paid in two installments, the first being due at the closing of the Transaction and the second after 12 months from the closing of the Transaction. The base price is subject to post-closing price adjustments, based on the change in net debt and working capital of the Target Companies.

Suzano explains that it already uses existing forest assets in the target companies through forest partnership contracts signed in 2013 by its predecessor, Fibria Celulose.

“The operation is in line with Suzano’s strategy of being “best-in-class” in terms of the total cost of pulp, by reducing expenditure on the purchase of wood, as well as guaranteeing a forest base in areas that are strategic to its operations in the long term” , says.

Among the companies are Vitex SP Participações; Vitex BA Participações; Vitex ES Participações; Vitex MS Participações; Parkia SP Participações; Parkia BA Participações; Parkia ES Participações; and Parkia MS Participações.

In a material fact sent to the Securities and Exchange Commission (CVM), the company highlights that the conclusion of the Transaction is subject to the verification of conditions precedent, commonly practiced by the market in this type of transaction, including the approval of the Transaction by the Administrative Council for Economic Defense ( Cade), and approval by Organs corporate bodies of the Parties.

The company clarifies that the General Meeting for the ratification of the Transaction by the shareholders will be convened in due course by the company’s management, if applicable.