When we founded LFDF, we had an ambitious goal: to build a high-quality forest portfolio that creates long-term value for investors while managing forests responsibly and sustainably.
Today that strategy has matured into a portfolio of almost 7000 hectares.
Over the years LFDF has established itself as one of Latvia's leading forest investment companies. We now receive an increasing number of acquisition opportunities directly from landowners, reflecting the trust we have built through long-term relationships and disciplined portfolio management.
We have successfully achieved the objectives set out in our original business plan. We have built a diversified portfolio and secured a strong position in the market. As a result, our focus is naturally shifting toward maximizing portfolio value, optimizing management and supporting long-term growth. That is why the next logical step is LFDF II.
One long-term strategy, two stages of growth
LFDF and LFDF II are not separate stories. They represent two stages of the same long-term strategy.
LFDF will continue managing and developing the existing portfolio, focusing on:
increasing forest value,
efficient portfolio management,
long-term asset growth.
LFDF II will focus on acquiring new forest properties and expanding the portfolio, with the next milestone of reaching 10 000 hectares under management.
This approach allows us to continue creating value from our existing assets while actively pursuing new market opportunities.
More opportunities for investors
Alongside LFDF II, we are introducing a new investment structure with two investment options: Senior Notes and Junior Notes.
This financing model is widely used by institutional investors and is common in real estate and infrastructure financing. It gives investors the flexibility to choose an investment profile that matches their objectives and risk tolerance:
Senior Notes are designed for investors seeking a more conservative approach. They benefit from repayment priority within the financing structure, providing an additional layer of protection.
Junior Notes are intended for investors who are comfortable taking on higher risk in exchange for the potential of higher returns.
More detailed information about both note classes and the investment structure is available in the LFDF II Prospectus.
Looking ahead
LFDF II represents the next milestone in our long-term vision of building the largest Latvian-capital forest investment fund, with a portfolio exceeding 100 000 hectares supported by diversified financing solutions and professional asset management.
Every portfolio expansion, every forest acquisition and every new fund generation brings us one step closer to that goal.
What remains unchanged is what has driven our growth from the beginning: an experienced team, disciplined execution and a clear focus on creating long-term value.
LFDF II is not a new direction. It is the next step in a strategy that has already proven itself in practice.
