TFS settles $24m with new investor

Nedlands-based TFS Corporation says a $24 million investment from a new Hong Kong institutional investor in its Beyond Carbon sandalwood plantation product has settled.

The sandalwood producer said it had planted, and would manage, 400 hectares of Indian sandalwood tree plantations in the Northern Territory for the new investor.

Chief executive Frank Wilson said the transaction increased the total number of institutional Beyond Carbon investors to five.

He said the addition of the new investor was an endorsement of the appeal of the Beyond Carbon product.

“Importantly, TFS is continuing to attract strong global demand from the pharmaceutical, fine fragrance, carving and luxury cosmetic industries for East Indian sandalwood and oil,” Mr Wilson said.

TFS announced last week that its international pharmaceutical partner, global dermatology company Galderma, had officially launched its Benzac Acne Solutions product in the US, which contained TFS’s sandalwood oil.

TFS shares were trading 2.6 per cent lower at $1.63 per share at 9:30am.