May 2 (Reuters) - New Zealand's state pension fund is in talks to buy total control of the country's biggest commercial forest estate from the United States' Harvard University investment arm, the fund said on Wednesday.

The New Zealand Superannuation Fund said along with global investment company GMO Renewable Resources it was in talks with Harvard Management Company to buy its 60 percent stake.

The fund already owns the minority 40 percent stake in the 170,000 hectare (420,000 acres) Kaingaroa commercial plantation in the central North Island.

It declined any further comment on the possible sale.

Harvard Management, which manages endowment funds of more than $32 billion, bought the forest in December 2003 for an estimated $650 million, after the collapse of the previous ownership structure.

The NZ Superannuation Fund bought a 40 percent stake in 2006 for around NZ$300 million, and already has significant forestry investments.

The fund, set up in 2003 to fund New Zealand's long-term pension costs as the number of retiring baby boomers mushrooms, reported funds under management of NZ$19.5 billion at the end of March, of which around 6.5 percent was invested in timber.

Harvard has a group of dairy farms in New Zealand's South Island bought in October 2010 for a reported NZ$32 million.

Source:Reuters

Posted and edited by Riona, Hanbao News Department

Contact: rionach@cltimber.com