JOHANNESBURG, South Africa, July 16, 2014 /PRNewswire/
-- Sappi today confirmed that they have concluded the sale of
Sappi's Usutu Forest Products Company Limited to local Swaziland business Montigny
Investments.
Sappi announced on 01 July 2013
that it intended to dispose of Usutu Forest Products Company
Limited to Montigny Investments Limited, Sappi can confirm that all
conditions precedent to the successful conclusion of the
transaction have been met as of 15 July
2014.
The purchase consideration to be paid by Montigny to Sappi of
ZAR1,000,000,000 (one billion Rand) will be used for general
corporate purposes and will reduce Sappi's net debt.
Commenting on the sale, Sappi Limited Chief Executive Officer
Steve Binnie said "We are extremely
happy to have been able to sell our Usutu business to Montigny. The
transaction reflects the change in Sappi's strategic focus towards
high growth segments such as specialised cellulose and packaging.
The proceeds of the sale will contribute to paying down debt."
About Sappi
Sappi Limited (JSE: SAP) is a global pulp and paper company
headquartered in Johannesburg, South
Africa with over 13,500 employees, and manufacturing
operations on three continents in seven countries and customers in
over 100 countries around the world. Learn more about Sappi at
www.sappi.com.
About Montigny Investments
Montigny is registered in the Kingdom of Swaziland and carries on business within the
timber industry. It supplies products to the mining industry,
produces finished products for the building industry, supplies
by-products to the bio-fuel, leather and charcoal industries, and
produces packaging materials and poles.
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SOURCE Sappi
