Timbercorp forestry investor growers are at risk of losing profits from their trees if rent to the land leaseholders goes unpaid according to liquidators KordaMentha.
"Some landlords have served notices demanding an answer within 28 days. At stake is the investor growers' stake in the trees," KordaMentha representative Mike Smith said.
The liquidators have now applied to the Federal Court for an order extending the time it has to decide whether to disclaim the leases as demanded by the landlords.
Meanwhile the Timbercorp Growers Group and KordaMentha have agreed to hold a meeting in early August with investor growers to discuss the potential sale of the Timbercorp forestry assets.
"A formally structured and competitive sale or recapitalisation process would ensure the best outcome for the growers," KordaMentha liquidator Mark Korda said.
According to Korda there was strong interest from a large number of parties in buying Timbercorp's forestry assets.
Last week, Investor Daily reported that TC Growers, a consortium that includes First Super, have shown interest.
Timbercorp Growers Group representative Christoper Rylands said that the meeting was the best way to avoid a "lengthy and protracted court battle."
"Under this scenario as least we have all parties moving in the same direction, which offers the best chance of a successful outcome for investors," Timbercorp Growers Group representative Christoper Rylands said.
He said there will be independent parties attending the meeting to assist growers in the decision making process.
Growers would hear from an independent auditor and an independent forestry expert will answer question relating to yield and harvesting matters, according to Korda.
The meeting has been called due to the cessation of plantation maintenance and the likelihood of lease terminations on 30 September 2009.
There are nearly 10,000 forestry investor growers who have invested a total of about $800 million in Timbercorp forestry schemes.
