On December 1, 2020, Criterion Africa Partners (CAP), a private equity firm focused on the forestry sector in Sub-Saharan Africa, announced the successful sale of its portfolio company Global Woods in Uganda to Nile Fibreboard Ltd. (NFB), a local strategic buyer.
Key Achievements of Global Woods
Founded in 2002, Global Woods developed a 12,000-hectare pine and eucalyptus plantation in the Kikonda Forest Reserve near Hoima, which has since become one of East Africa’s leading forestry estates. At full maturity, the plantation will produce over 200,000 m³ of pine sawlogs and eucalyptus poles annually for regional markets and will have sequestered over 2.5 million tons of CO₂, significantly contributing to climate change mitigation.
CAP’s Role and Impact
CAP’s investment in 2015 financed the establishment of the final 3,000 hectares of the plantation and supported the company’s growth, creating hundreds of local jobs. CAP also emphasized worker health and safety, especially as Global Woods transitioned from tree planting to harvesting and industrial operations.
Commitment to Sustainability and Community Development
Since 2012, Global Woods has been certified by the Forest Stewardship Council (FSC) for high environmental, social, and economic sustainability standards. The company has made substantial investments in local communities, benefiting thousands of families through agricultural training, job creation, village savings programs, borehole installations, and educational support. Gender equality was also a priority, with women holding key leadership positions, including Ms. Enver Mapanda as Global Woods’ most senior manager in Uganda in recent years.
Successful Exit to Nile Fibreboard Ltd.
NFB, a family-owned Ugandan company, is a leading timber value-addition enterprise managing over 20,000 hectares of forests in East Africa. With its existing wood processing facilities and market access, NFB is well-positioned to sustainably manage the plantation for decades. The company will retain Global Woods’ employees and contractors and maintain FSC certification.
Positive Financial and Environmental Outcomes
The sale ensures a strong financial return for CAP’s investors in the Africa Sustainable Forestry Fund and Africa Forestry Fund II Limited, while also contributing to climate change mitigation and regional economic development.
About the Companies
Criterion Africa Partners (CAP)
An independent private equity firm managing $275 million in assets for European Development Finance Institutions and Multilateral Development Banks.
Nile Fibreboard Ltd. (NFB)
A Uganda-based, family-run company and regional leader in timber processing, managing extensive forestry assets in East Africa.