Sino-Forest's Investment In Hong Kong-Listed Omnicorp Receives Approval -
Enhances Existing Partnership to Serve China's Wood Deficit

TORONTO, July 29, 2010 /CNW/ - Sino-Forest Corporation ("Sino-Forest") (TSX: TRE), a leading commercial forest plantation operator in China, is pleased to announce that, at a special general meeting held today, the independent shareholders of Hong Kong-listed Omnicorp Limited ("Omnicorp") (HKSE:0094) have approved, among other things, Sino-Forest's purchase of 230 million subscription shares in Omnicorp at a price per share of $1.82 for a total consideration of HK$418.6 million or approximately US$53.7million ("the Share Subscription").

Completion of the Share Subscription is expected to take place on August 3, 2010. Upon completion, Sino-Forest's voting interest in Omnicorp will increase from approximately 19.8% to approximately 53.5% of the enlarged issued share capital of Omnicorp. Sino-Forest also holds HK$212.3 million of existing convertible bonds of Omnicorp (the "Existing Convertible Bonds") that were acquired in November 2007 and February 2009. Following completion of the Share Subscription and assuming full conversion of the Existing Convertible Bonds, Sino-Forest's interest will increase to approximately 59.9% of the enlarged issued share capital of Omnicorp.

Omnicorp has a 60.4% ownership in Greenheart Resources Holdings Limited ("Greenheart"), and Sino-Forest, through its wholly owned subsidiary Sino-Capital Global Inc., owns a 39.6% minority stake. Greenheart is one of the largest forest concession owners and operators in Suriname, South America with a 178,000-hectare hardwood concession and harvesting rights.

About Omnicorp Limited

Omnicorp is a Hong Kong-based investment holding company. The principal activities of Omnicorp's subsidiaries consist of log harvesting, lumber processing, marketing and sales of logs and lumber products. Omnicorp's main subsidiary is Greenheart Resources Holdings Limited. Omnicorp's common shares have been listed on the Hong Kong Stock Exchange since 1988 under the symbol 0094. Learn more at

About Sino-Forest Corporation

Sino-Forest is a leading, commercial forest plantation operator in China. Its principal businesses include the ownership and management of forest plantation trees and sales of standing timber, wood logs, and complementary manufacturing of downstream engineered-wood products. Sino-Forest's common shares have traded on the Toronto Stock Exchange under the symbol TRE since 1995. Learn more at

Please note: This press release contains projections and forward-looking statements regarding future events. Such forward-looking statements are not guarantees of future performance of Sino-Forest and are subject to risks and uncertainties that could cause actual results and company plans and objectives to differ materially from those expressed in the forward-looking statements. Such risks and uncertainties include, but are not limited to, changes in China and international economies; changes in currency exchange rates; changes in worldwide demand for Sino-Forest's products; changes in worldwide production and production capacity in the forest products industry; competitive pricing pressures for Sino-Forest's products; and changes in wood and timber costs.

SOURCE Sino-Forest Corporation

For further information: For further information: Investor Relations: DAVE HORSLEY, Senior Vice President & Chief Financial Officer, Tel: +905 281 8889, Email:; LOUISA WONG, Senior Manager, Investor Communications & Relations, Tel: +852 2514 2109, Email:; Media Relations: CHERYL KIM, Edelman Toronto, Tel: + 1 416 979 1120, Email:; CYNTHIA NG, Edelman Hong Kong, Tel: +852 2837 4738, Email:

Organization Profile

Sino-Forest Corporation

More on this organization

Custom Packages

Browse our custom packages or build your own to meet your unique communications needs.

Start today.

CNW Membership

Fill out a CNW membership form or contact us at 1 (877) 269-7890

Learn about CNW services

Request more information about CNW products and services or call us at 1 (877) 269-7890