Property Of The Week


Only 6 apartments in Mordialloc, one of Melbourne’s most established bayside suburbs.
  Please note: To access all documentation you need to be registered prior to downloading files. Simply REGISTER HERE to receive your username & password.

Not a member yet? - Register NOW


Elders Diversified Forestry Project 2010
Cash Rebate 8.25%
Closing Date CLOSED
Minimum Investment $7,500 (Option 2)
$8,500 (Option 1)
Term of Project 21 years
Lonsec Investment Grade
ATO Product Rulings 2010/10 (Option 2)
2010/11 (Option 1)
04 May 2011
Elders Forestry would like to advise that it is engaged in preliminary discussions with TFS regarding the divestment of its Sandalwood interests and associated assets.

Any discussions will explore the potential involvement of TFS in the management of investment schemes currently managed by Elders Forestry where Indian Sandalwood and Australian Sandalwood is grown.

This would include stand alone Sandalwood projects and the Sandalwood components of Elders Forestry’s Diversified Forestry projects.

View Elders Limited announcement to the Australian Securities Exchange.

Further information shall be provided to advisers and investors as discussions progress.
Product Disclosure Statement
Supplementary PDS 31 May 2010
Elders Limited Aegis Research
Lonsec Manager Profile
Cashflow Calculator

Why invest in forestry?

Growing World Markets
World consumption of wood products is rising, especially in the Asia Pacific region. Improved standards of living and population growth will mean a greater demand for paper and wood based products.

Forestry is an asset class
An investment in forestry offers investors the opportunity to diversify into an asset class that is not correlated in terms of movements in market prices and returns with other asset classes such as equities and property.

Environmental Advantages
Plantations protect native forests, help reduce salinity and soil erosion and create a sink for greenhouse gases.

The Australian Advantage
With more than 700,000 hectares of hardwood plantation, Australia is well located to supply expanding Asian markets. Australia also enjoys a freight advantage over other countries with shipping taking up to 16 days less than some other countries.

Continued Government Support
The Australian Government encourages development of plantation forestry through its ‘Plantations for Australia: 2020 Vision’ statement.

Why invest with Elders?

Financial strength
Elders Limited is a Top 200 company listed on the Australian Securities Exchange (ASX). Elders Forestry Limited (Elders Forestry) has a strong mandate and backing to support its future growth. Elders Forestry manage investment assets in excess of $670M on behalf of more than 12,000 investors.

Industry Leader
Elders Forestry is one of the largest hardwood plantation managers in Australia with more than 160,000 hectares under management across Australia. Elders Forestry has been an industry leader in the establishment and management of plantations for more than 15 years and now manages more than 50 forestry projects.

Best practices
Elders Forestry has one of Australia’s leading, advanced generation eucalypt breeding and silvicultural programs. This work continues to be the subject of extensive trials with national and global collaborations to further improve the productivity of seedlings planted as part of their estate.

Benefits of the Elders Diversified Forestry Project  
1. Multiple cash flow points throughout the term of the project
2. Diversification across species, geographic locations and end markets
3. Deferred fee structure aligning Elders’ Forestry interests with those of investors
4. A single upfront payment option with no annual lease or management fees

How the details stack up?

  Option 1 Option 2
Establishment Fee $8,500 per unit* $7,500 + $500* per year for the first four years
Deferred Management Fee Thinning = 50% Clearfall Harvest = 18% Thinning = 50% Clearfall Harvest = 10%
Term 21 years
End Markets Domestic and export markets

Area (approx) 0.72 ha 0.06 ha 0.06 ha 0.05 ha
Revenue Flows^ Year 11 Years 8 and 19 Year 16 Years 10, 15 and 21
Species Eucalyptus globulus Eucalyptus pellita Santalum album Tectona grandis
Location The Green Triangle (VIC/SA), Albany (WA) and/or Esperance (WA) Far North Queensland Kununurra (WA) and or Far North Queensland Far North Queensland
End Use High quality paper and paperboard Appearance grade timber used in flooring and furniture High end perfumes, cosmetics such as moisturisers and soaps. The sawdust is used in incense. Decking, indoor/outdoor furniture and in boat building
*$500 ongoing payment is adjusted annually for CPI
^Based on expected harvest commencement dates, harvest may continue over one or more financial years.

Project Locations

  Project Species Project Locations
Sandalwood 1 Kununurra 5 Penola
Pulpwood 2 Far North Queensland 6 Esperance
Red Mahogany 3 Hamilton 7 Albany
Teak 4 Portland 8 Bunbury

Environmental excellence

In May 2004, Elders Forestry became one of the first retail plantation forestry managers in Australia to secure Forest Stewardship Council (FSC) certification, as recommended by WWF-Australia, for our plantations in Southern Australia and in 2008 achieved FSC certification for all our plantations in Western Australia.

Elders Forestry is committed to securing FSC certification for all plantations.

Building on Elders commitment in securing FSC certification, in December 2005, WWF and Elders Forestry launched a partnership to encourage Australian businesses to support responsible forest and plantation management through the choice of timber and paper they buy. WWF-Australia congratulates Elders Forestry for their world first FSC certified Sandalwood plantations in Kununurra, Western Australia.

Important information:

This product summary has been prepared by Elders Forestry Management Limited (ABN 55 081 643 147) (AFSL 247019) and does not constitute advice of any kind. It has been prepared as general information only, is not intended to be a recommendation to invest and does not take into account the investment objectives, financial situation or needs of any particular person. Before making any investment decision you should consider the information contained in the Elders Diversified Forestry Project 2010 Product Disclosure Statement (‘PDS’) and your individual circumstances (with or without the assistance of an adviser) to determine if investment is appropriate for you. Detailed information about the product is contained in the PDS available above. No person or corporation associated with Elders Forestry Management Limited, Elders Forestry Limited or Elders Limited guarantees the repayment of capital or the performance of the project. Past performance is not indicative of future performance.

Simply download an Investment Brochure/PDS above. It’s that easy!
return to previous page