Investment case


1. Demand for wood-fibre set to explode while supply faces challenges

The global middle class will grow by almost two billion people in this decade, leading to a significant increase in demand for wood-fibre. In addition to this, the on-going shift away from fossil-based materials (plastics, textile etc) is gaining momentum by the day. This development paired with tougher restrictions facing forestry in the northern hemisphere create a demand-supply gap.

2. Eternali’s unique sourcing capability is ready to be scaled to meet the demand

The traditional solution, in the northern hemisphere, to meet increased demand is simply to harvest more. As a pine tree takes no less than 100 years to be ripe for harvest, this approach is facing stark opposition from legislators as well as public opinion. Eternali challenges traditional axioms of the forest industry as we deliver fast-growing eucalyptus trees that grows to pine-sized trees in 5-8 years. Eternali has already surveyed existing forest assets across Brazil, holding millions of cubic meters of timber and significant acreage suitable for green field planting of eucalyptus.

3. Strong customer agreements in place

Eternali has proven its capacity to both source forest products and run its own production facility in Brazil that meet the stringent quality standards (including FSC-certification for the plantations) of our global customers. On the strength of that proof, Eternali is now set to sign long-term agreements for its product with some of the largest buyers in the paper production industry as well as buyers of biomass from wood.

4. Sustainability at the core

The team tasked with managing Eternali draws on decades of experience in sourcing and managing international distribution chains as well as running local production for domestic and international supply. The team is fully committed, as employees and individuals, to make Eternali a trustworthy supplier of wood-fibre and biomass. Therefore, sustainability and ESG is at our core: The world needs more wood to substitute plastic and oil, so let´s focus on producing more wood from where it grows 5-6 times faster than in Europe or the US. The world needs more forest for carbon sequestration, so let´s support planting trees on degraded land. The world needs to protect biodiversity, so let´s demand best-in-class sustainable value-chains. The world needs greener energy, so let's simplify the shift from fossil fuels to biomass from wood. And let´s do all these things while maintaining modern ESG standards.