Corticeira Amorim buys 50% of Cold River Homestead from BCP for €14.5M

Corticeira Amorim has paid €14.5 million to BCP for 50% of Cold River’s Homestead, which owns part of Herdade do Rio Frio, in Setúbal, a former BPN property, it told the market on Thursday.

In a statement sent to the Portuguese Securities Market Commission (CMVM), Corticeira Amorim said it had “today concluded an agreement with Banco Comercial Português for the acquisition of 50% of Cold River’s Homestead, SA, (…) which has assets (movable and immovable property) allocated to agroforestry operations, which constitutes a part (3,300 hectares) of the so-called Herdade do Rio Frio, located near Setúbal, for €14,525,000.

Corticeira Amorim also announced an agreement with Parvalorem to purchase the remaining 50%, depending on certain requirements, which it expects to materialise “in the short term”.

“Under this acquisition, Corticeira Amorim intends to improve the productivity of the agroforestry activity of Herdade do Rio Frio, namely through densification to be implemented in this unique cork oak forest, with processes proven in other locations,” the statement sent to the market said.

As part of the implementation of its ongoing Forest Intervention Project, the cork company also said it was “open to analysing partnership opportunities with forest producers, research institutions and local public entities, as well as the acquisition of agroforestry assets with potential for development and enhancement of cork oak forests.

On Tuesday, Eco newspaper reported that the government would extinguish the vehicles managing the toxic assets of Banco Português de Negócios (BPN), by merging Parups and Participadas into Parvalorem, which will also be liquidated later.