BCI, BTG Pactual TIG and Klabin Launch a Brazilian Timberland Platform
- Large scale partnership advancing long term timberland stewardship and marking one of the largest timberland transactions ever in Latin America
São Paulo, Brazil – 19 August 2025 — The BTG Pactual Timberland Investment Group (BTG Pactual TIG), one of the world’s largest timberland investment managers, has announced the formation of a large, consolidated timberland platform in southern Brazil. The transaction will significantly expand BTG Pactual TIG’s presence in the state of Paraná, where it has operated since 2017.
The ~US$ 700 million investment comprises ~100,000 gross hectares of sustainably managed mature timberland assets, consisting primarily of pine and eucalyptus forests. The transaction was structured in partnership with Klabin S.A.(Klabin), Brazil’s largest producer and exporter of packaging paper and a leading manufacturer of paperboard packaging, and British Columbia Investment Management Corporation (BCI), one of Canada’s largest institutional investors.
“This transaction marks an important step in our long-term strategy to invest in sustainably managed timberland in Brazil,” said Gerrity Lansing, Head of BTG Pactual TIG. “It expands our presence in Paraná—a strategically important region for forestry in the country—and reflects our commitment to building scalable platforms alongside long-term institutional partners like BCI and strategic partners like Klabin, whose deep industry knowledge adds meaningful value.”
Marcos Paulo Conde Ivo, Chief Financial Officer of Klabin said: “Collaborating with BTG Pactual TIG and BCI on this investment reflects Klabin’s ongoing engagement to sustainable forestry and responsible stewardship and reinforces Klabin’s commitment to disciplined capital allocation and deleveraging, consolidating the creation of sustainable value for all its stakeholders”
“We are pleased to expand our partnership with BTG Pactual TIG through this strategic investment,” added Lincoln Webb, Executive Vice President & Global Head of Infrastructure & Renewable Resources at BCI. “This transaction reflects the opportunity we see in high-quality, sustainably managed timberland assets. Working alongside experienced partners such as TIG and Klabin supports our objective of delivering long-term, risk-adjusted returns for our clients.”
The investment will align with Klabin’s 2030 Agenda and leverage TIG’s sustainability infrastructure and experience to sustainably manage the timberland assets in a manner that aims to generate both financial returns and positive environmental and social outcomes.
The transaction described in this press release is subject to standard precedent conditions, including approval by the relevant regulatory authority.
This is another excellent timberland deal for BCI partnering up with BTG Pactual TIG (TIG) and Klabin, the largest producer and exporter of packaging paper and sustainable paper packaging solutions in Brazil.
Recall, in 2021, TIG and BCI launched Caddo Sustainable Timberlands LP (CST) – a platform through which to build exposure to southeastern US timberland with the goal of generating superior risk-adjusted returns while accounting for ecological integrity and sustainability (read details here).
Now they're teaming up again to launch another timberland platform in TIG's backyard, Brazil.
And they picked the right partner, Klabin, a company with a 126 year history.
The company is known for driving sustainability, aligning with BCI's values.
It is worth repeating what Marcos Paulo Conde Ivo, CFO of Klabin said:
“Collaborating with BTG Pactual TIG and BCI on this investment reflects Klabin’s ongoing engagement to sustainable forestry and responsible stewardship and reinforces Klabin’s commitment to disciplined capital allocation and deleveraging, consolidating the creation of sustainable value for all its stakeholders”
Every partner in this new platform is getting something, including Klabin.
Keep in mind, from an asset allocation perspective, timberland and farmland are inflation sensitive assets, just like real estate and infrastructure, but they are uncorrelated and have their own specific risks and dynamics.
BCI's EVP & Global Head of Infrastructure and Natural Resources, Lincoln Webb, knows all this and they're deploying assets here for "long-term, risk-adjusted returns" and as a means to protect BCI's overall portfolio from inflation (just like infrastructure and real estate, inflation protection is embedded in timberland assets).
In other recent corporate news, BCI-backed Brinley Partners secured a US$4 billion commitment:
- Transformational investment launches Brinley’s inaugural collateralized loan obligation (CLO) offering
Victoria, BC, July 30, 2025 – British Columbia Investment Management Corporation (“BCI”), one of Canada’s largest institutional investors, today announced that Brinley Partners, LP (“Brinley”), a private credit investment manager initially seeded by BCI’s Principal Credit Fund, has secured an additional US$4 billion commitment from a leading U.S. insurance company. This capital will fund Brinley’s inaugural collateralized loan obligation (“CLO”), the first in a planned series of rolling vintages, beginning with a US$1 billion investment vehicle.
Brinley focuses on high quality companies in the middle-market, upper-middle market, and large cap space, operating in defensive sectors. Brinley’s first flagship fund, Brinley Private Debt Fund I LP, closed in 2021 with approximately US$3 billion of total capital, inclusive of leverage.
“BCI first invested in Brinley in 2021, having built strong conviction in the strategy created by the company’s Founder, Kerry Dolan, and the growing demand for corporate private debt. Since that time, Brinley has demonstrated successful execution and delivered strong results for BCI,” said Daniel Garant, Executive Vice President & Global Head, Public Markets at BCI. “We’re thrilled to see Brinley secure this US$4 billion commitment to extend their offering into the CLO market. This is a transformational transaction for Brinley and all equity partners – including BCI. We are pleased to continue our partnership with Brinley in their next phase of growth.”
Kerry Dolan, Founder and Managing Partner of Brinley added: “Our inaugural CLO is a natural extension of our credit platform, and welcoming a new strategic partner marks a meaningful milestone in Brinley’s continued evolution and the growth of our firm.”
Brinley’s expansion into the CLO market reinforces its momentum as a growing, multi-product credit platform. Leveraging the firm’s existing capabilities, the CLO will employ Brinley’s flagship strategy of providing comprehensive capital solutions to high-quality mid-market and large-cap companies, with a specific emphasis on businesses with high barriers to entry, compelling industry fundamentals, and demonstrated revenue visibility or predictability, among other factors. The CLO strategy was specifically designed to meet the needs of insurance sector investment capital, including flexible structuring capabilities that allow the CLO to include various debt products.
BCI’s Principal Credit Fund has committed, or agreed to commit, more than US$2.5 billion to Brinley.
As the press release states, this capital will fund Brinley’s inaugural collateralized loan obligation (“CLO”), the first in a planned series of rolling vintages, beginning with a US$1 billion investment vehicle.
Brinley focuses on high quality companies in the middle-market, upper-middle market, and large cap space, operating in defensive sectors.
BCI has a high conviction in its strategy and the CLO is a natural extension of its credit platform.
I can't speak about risks but at least they focus on defensive sectors, so there's less cyclicality here, or at least there should be.
Lastly, BCI just announced that Geraldine Hutchings will soon join its board of directors:
BCI is pleased to announce that Geraldine Hutchings will join the BCI Board of Directors on September 1, 2025. The College Pension Board of Trustees has appointed Geraldine for a two-year term.
Geraldine brings extensive experience and expertise in pension governance. She has served on the College Board of Trustees since 2012, including as Chair and Vice Chair, and was appointed as a Director on the Pension Management Board of the BC Pension Corporation in 2018, where she also served as Chair of the Audit Committee.
“On behalf of the Board of Directors, I look forward to welcoming Geraldine to the BCI Board,” said Peter Milburn, Chair of BCI’s Board of Directors. “Geraldine’s proven experience in pension governance will support our oversight role as BCI continues to deliver long-term value for clients in an increasingly complex environment.”
“I am honoured to be joining BCI’s Board of Directors,” said Geraldine Hutchings. “Having worked closely with pension plans for many years, I understand the critical importance of effective governance and oversight in protecting and growing clients’ assets. I look forward to contributing to BCI’s strong governance and its continued success in serving clients.”
Director transition
Geraldine succeeds Weldon Cowan, who is resigning from the BCI Board on August 31, 2025. Weldon was first appointed to BCI’s Board in 2021 and served as a member of the Human Resources and Governance Committee.
“We thank Weldon for his years of dedicated service to the BCI Board,” said Peter. “During his tenure, Weldon’s expertise and insights helped to strengthen our oversight and governance of BCI. We are sincerely grateful for his valuable contributions, and we wish him well.”
About the BCI Board of Directors
BCI’s Board is structured in accordance with the Public Sector Pension Plans Act . BCI’s four largest pension plan clients each appoint a member from their Board of Trustees, with the Minister of Finance appointing the Chair and two directors to comprise a seven-member Board.
Geraldine’s full biography and additional information about BCI’s Board of Directors can be found at BCI.ca/governance.
Sounds to me like the right type of lady with the right experience who will add value to BCI's Board.
Alright, let me wrap it up there.
Below, Klabin is made of people – from those who just arrived to those who have been with them for over 50 years – all contributing to the building of a century-old history marked by efficiency and a strong commitment to the future.
Here, they celebrate 126 years with emotion, inspiration, and, above all, pride. Pride in our more than 18,000 employees. Pride in our partners, clients, consumers and investors. "126 years of pride in standing by your side."
Again, strong partner to have in Brazil on this timberland platform. Well done.
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