Fibria acquires minority equity interest in CelluForce

Fibria Celulose S.A. acquires a minority equity interest in CelluForce Inc., a private company incorporated in Canada which is the world leader in the commercial production of cellulose nanocrystals (CNC), a strategic alliance agreement under which Fibria has the right of exclusive supply in South America of CNC produced under the CelluForce'́s technology.

CNC, a biodegradable and renewable technology, have based solutions in numerous applications such as in the oil and gas field, in improving manufacturing processes of paper and non-wovens, in improving cement applications, in the development of electronic applications and in other segments like plastics and composites, paints and coatings, cosmetic ingredients, health care industry, and food and beverage industries.

Fibria,subject to certain conditions, undertakes to subscribe and pay C$5.3 million for a number of preferred shares corresponding to approximately 8.3% of CelluForce’s capital. Furthermore, pursuant to the shareholders’ agreement executed by Fibria and the other shareholders, Fibria will be entitled to appoint one member for CelluForce’sBoard of Directors.

The execution of the strategic alliance agreement between Fibria and CelluForce grants Fibria with the right of exclusive supply of CNC in South America. The strategic alliance agreement also contains a provision that, in case CelluForce decides to establish a plant to produce CNC’s in South America, Fibria will have the right of first refusal to participate in such plant by means of a joint venture with CelluForce or other structure to be agreed by the parties.

Fibria is a Brazilian forestry company and the world's leading eucalyptus pulp producer.