NSW mandates UBS for Forestry scoping study
Wednesday 9 Oct 2019NSW government mandates UBS for forestry scoping study - In Australia, UBS' investment bankers have been called back in to NSW Treasury to help consider options for the state's commercial softwood plantation business.
Hot on the heels of advising NSW on its three-pronged poles and wires privatisations, Street Talk can reveal UBS has been mandated to run a scoping study on the assets housed in NSW's Forestry Corporation.
While it is understood NSW Treasury's deliberations have just started, and ink has barely had time to dry on UBS' mandate, the fact NSW has called in the investment bankers is a clear sign the assets may well end up as the state's next chunky privatisation.
NSW's move comes after Victoria sold its softwood plantations in 1998, while Queensland reaped $603 million when it sold Forestry Plantations Queensland in 2010.
Bankers reckon NSW's business could be worth as much as $1 billion, although there is little information in the market about exactly what the state would consider selling and terms attached to any sale.
Source: Financial Review
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