EANS-Adhoc: Precious Woods Holding Ltd. / Precious Woods reports on positive developments in advance of its extraordinary General Meeting on 18 December 2012

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Capital measures/Company Information/Sustainable forestmanagement
07.12.2012

Zug / Zurich, 07. December 2012 - Precious Woods reports on positive
developments in advance of its extraordinary General Meeting on 18
December 2012

-Medium-term liquidity secured thanks to successful placement of
convertible bonds and inflow of funds from sale of participation
-Specific key data on the planned conditional, approved and ordinary
capital increases -No nomination of additional member of the Board of
Directors due to the sound solution reached

Secured liquidity The media release issued on 26 November 2012
explained how the Precious Woods Group aimed to secure medium-term
liquidity. In the meantime, Precious Woods has succeeded in securing
liquidity (subject to shareholders' approval of the increase in
approved and conditional capital at the extraordinary general meeting
on 18 December 2012). Precious Woods has successfully placed two
convertible bonds worth CHF 2 million each with one existing and one
new Swiss private investor. Furthermore, the sale of the remaining
minority stake in Precious Woods Central America not only enabled the
Group to reduce its financial debts by around CHF 12 million, but
also resulted in an additional cash inflow of CHF 0.9 million.

Specific key data on the three planned capital increases At CHF 3.00,
the negotiated conversion price for the bridge loans of just under
one year is approximately 60% above the current share market price.
This represents a significant premium for all existing shareholders,
and ensures a balanced shareholder structure. In view of the
successfully negotiated conditions, the company will require only a
small proportion of the additional approved and conditional capital
asked at the extraordinary general meeting to serve the conversion
rights arising from the two newly placed convertible bonds: at around
CHF 0.5 million, this amount is reasonably proportionate to the
simultaneously planned ordinary capital increase of around CHF 0.3
million. Given the approval by shareholders of the three planned
capital increases, the resulting additional but unclaimed approved
and conditional capital would therefore serve as a reserve position.
The issue price for the shares from the ordinary capital increase,
open to all existing shareholders, will be defined in January. It
will, however, certainly not be above the market price at the time.

No nomination of additional member of the Board of Directors In view
of this well balanced solution, there will be no election of a new
member of the Board of Directors. Agenda item 5, "Election of new
Member of the board of Directors possibly nominated by the Board"
therefore no longer applies.

The complete agenda and the proposals from the Board of Directors has
been published on the Precious Woods website (www.preciouswoods.com)
and in the Swiss Official Gazette of Commerce (SOGC).

end of ad-hoc-announcement ==========================================
====================================== Precious Woods is an
international company active in the sustainable management and use of
tropical forests. The company's core activities include reforestation
and sustainable management of tropical forests, timber processing and
the trading of FSC-certified timber products. The generation of
emission rights and electricity from wood waste represent further
integral elements of the company's business. Shares of Precious Woods
Holding Ltd have been listed on the SIX Swiss Exchange since March
2002. Additional information about Precious Woods can be found at
www.preciouswoods.com

This document includes forward-looking statements that reflect the
Company's intentions, beliefs or current expectations and projections
about the Company's future results of operations, financial
condition, liquidity, performance, prospects, strategies,
opportunities and the industry in which it operates. Forward-looking
statements involve all matters that are not historical fact. Such
statements are made on the basis of assumptions and expectations
which, although the Company believes them to be reasonable at this
time, may prove to be erroneous.

Further inquiry note:
Precious Woods Holding AG, Jacqueline Martinoli, Head of Finance /
Communications, Tel. +41 44 245 80 15, Fax +41 44 245 81 12,
media@preciouswoods.com

end of announcement euro adhoc
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issuer: Precious Woods Holding Ltd.
Baarerstrasse 79
CH-6301 Zug
phone: +41 44 245 80 10
FAX: +41 44 245 80 12
mail: media@preciouswoods.com
WWW: http://www.preciouswoods.com
sector: Forestry & Timber
ISIN: CH0013283368
indexes: SPI
stockmarkets: Main Standard: SIX Swiss Exchange
language: English