Chinese buy timber firms in Gabon
18 June 2012Chinese furniture producer Guangdong Yihua is to take over six forestry companies in Gabon by direct acquisition or buying up controlling interests from the China Forest Group.
The deal will cost Yihua CNY240m or £24m (US$37.3m) and bring the total of forest in its hands to 350,000 ha. Yihua said the acquisition will increase supplies of wood materials and lower manufacturing costs.
The companies are Societe Export Negoce DU Bois (ENB), Exploitation Forestiere Export Du Gabon (EFEG) and Exploitation Chang Industrie (ECI). Yihua is buying 87.25% equity in Industrie Forestiere Export Gabon (IFEG), 75.1% of Tropical Logs Production (TLP) and 75% of Societe Anonyme Hua-Jia De L' Industry Des Bois (SAHJ).
