Ballarpur Industries will be selling entire assets of its Malaysian unit, Sabah Forest Industries Sdn Bhd.

Sabah Forest Industries Sdn. Bhd. and Pelangi Prestasi Sdn. Bhd. have entered into sale and purchase agreement, for the sale of entire assets (including procurement of fresh timber licenses from the State Government of Sabah) of Sabah Forest Industries Sdn. Bhd for consideration of RM 1.2 billion ( approximately USD 310 million).

Sabah Forest Industries Sdn. Bhd is a step down subsidiary of the company and the buyer has deposited 10% of the consideration in cash. The buyer is a part of Albukhary Group of companies, Malaysia promoted by Sye Mokhtar Albukhary.

Further, the agreement is subject to necessary corporate and regulatory approvals including appropriate court orders of the High Court of Sabah & Sarawak, Malaysia.

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