Rubicon buys out ArborGen partners

 

 

 

Rubicon has moved to take full control of forestry biotech firm ArborGen, buying out its partners for US$29 million.

 

The deal follows Rubicon's scaled back exposure to the Taupo-based wood processor Tenon, where the local business was bought by a consortium including Rubicon.

 

Steve Kasnet. Chairman of NZX-listed Rubicon, which was formerly part of the Fletcher Challenge empire, says: "ArborGen has always been core for us – we are a founding partner of the business, and we have for some time been keen to extend our involvement to help the company realise its full potential."

 

Rubicon and its partners had planned to float ArborGen, raising between US$82 million and US$92 million, but that plan was shelved in 2011, with the owners saying market conditions on Wall Street at the time were too weak.