PT ROYAL LESTARI UTAMA

ABOUT RLU

*Investment Redeemed in 3Q 2023 after change of shareholder control and &Green’s consent

&Green’s inaugural investment in early 2019 was to support the Indonesian business PT Royal Lestari Utama (RLU). Established in 2015 as a joint venture between the tire producer Michelin and the Indonesian industrial conglomerate Barito Pacific Group, RLU set out to develop a new model for inclusive and sustainable rubber concessions. The company currently has two concessions covering approximately 88,000 hectares across the provinces of Jambi and East Kalimantan, and it intends to plant up to 34,000 hectares of rubber trees in the long-term.

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Transaction Summary

NAME

PT Royal Lestari Utama (RLU)

MAIN SPONSOR(S)

Barito Pacific Group and Michelin Group

Jurisdiction

Indonesia

Sector

Rubber

&Green Investment

USD 23.75 Million

Investment Term

15 and 7 years

Financial Structure

&Green purchased Notes organized by BNP Paribas and monitored by ADM Capital under the Tropical Landscape Financing Facility (TLFF).

A YEAR IN REVIEW

HIGHLIGHTS

In 2022, the two shareholders of RLU, Michelin and Barito Pacific, agreed that Michelin would purchase the shares owned by Barito Pacific to give it 100% control of RLU.

Following that decision, RLU informed TLFF that it would repay the entirety of the outstanding USD 95 Million loan, which included the Notes held by &Green. TLFF fulfilled this obligation and the &Green exposure was entirely redeemed on 18 August 2022.