Net Present Value (NPV)
Net Present Value is the sum of all discounted future cash flows for a forest investment. NPV is a useful tool to determine whether an investment will result in a net profit or a loss.
New Issue
A new forest investment offered for direct investment under a Product Disclosure Statement. See Product Disclosure Statement.
Open Tender
The process to invest in an established Forest Enterprises forest investment is to purchase shares via open tender, a process that Forest Enterprises facilitates on behalf of our existing clients. Potential buyers submit an offer to buy shares, which is either accepted by the seller or an agreeable offer is negotiated.
Ordinary Partnership
This is an investment structure used by some of Forest Enterprises’ historic forest investments. An ordinary partnership is the relationship between persons carrying on a business in common with a view to profit. Unlike a company, an ordinary partnership is not a separate legal entity. Partners in an ordinary partnership therefore have unlimited personal liability [...]
Partnership Agreement
See Deed of Partnership.
Partnership Shares
The name of the unit of investment in a partnership.
Pinus radiata
See Radiata pine.
Plantation Forest
A forest that has been planted as a crop for eventual harvest. Most plantation forests are replanted following harvest for second and subsequent rotations in perpetuity. The majority of New Zealand plantation forests are planted in Radiata pine (Pinus radiata), an exotic tree species. Plantation forests contrast with indigenous or naturally occurring forests.
Plots / Plotting
A plot is a selected sample of trees within an area. A plot is used during forestry operations (e.g. pruning and thinning) for quality control, or at other times for measuring growth and yield characteristics for record-keeping and projection purposes. Plotting is the process of statistically selecting the number and location of plots to get [...]
Pre-Emptive Rights
A feature of an ordinary partnership investment, one of our historic investment structures. Under pre-emptive rights provisions (set out in the Deed of Partnership), should one member wish to sell their ordinary partnership share(s), they must first be offered to the other partners and only when these partners have declined to purchase at the seller's [...]