bodes well for post share placement

Interesting comments in the article introduction by Kimberly Page.....

Kununurra: Mango trees make way for sandalwood
Agribusiness firm TFS has taken out another 60 hectares of mango trees this year to grow sandalwood.

The company, which plants trees on behalf of investors, said "its latest issue of new shares was not enough to satisfy the number of investors hoping to buy them".

Link to futher artcile..

http://www.kimberleypage.com.au/2009/09/kununurra-mango-trees-destroyed-for-sandalwood/


TFS raises fire and $28m from investors
A small group of farmers and Kununurra locals celebrated an old fashion bon fire last week as sandalwood company TFS put the match to about 60 hectares of dead mango trees.

The mango trees, on Ivanhoe Road, were ripped out and wind rowed to make way for Indian sandalwood plantings by the company last month.

The company, which will have more than 3500ha of Indian sandalwood trees in Ord Valley by next year, earlier this month announced it had raised $28 million from institutional investors as it looks to grow its business in Asia.

TFS said the placement to new and existing investors was heavily oversubscribed at $1 a share.

Chief executive Frank Wilson said the raising was a sign of confidence in the company’s business model, with TFS moving to reduce its reliance on managed investment schemes in the wake of the collapse of its rivals.

TFS will use the cash to pay down debt and boost its balance sheet as it looks to build business in the lucrative Indian and Middle Eastern markets in 2009-10.