Rubicon had taken full ownership of the US-based advanced forestry genetics company, ArborGen Inc, after buying out its partners International Paper and WestRock.
The purchase price of $29 million is to be paid in three tranches - $14 million on closing, $5 million on 31 December 2017, and $10 million on 30 June 2018.
The payments outstanding under the two deferred tranches are secured by a pledge to International Paper and WestRock of all of Rubicon’s shares in ArborGen. The Company said that there are warrants and options outstanding representing approximately 10% of ArborGen’s share capital.
ArborGen Inc. is a leading global provider of conventional and advanced genetics tree seedling products.
