Olam International to sell part of forestry assets, saw mills in Gabon to China investors
Olam International has agreed to sell part of its forestry and saw milling assets in Gabon for US$18 million (S$22.8 million) to a consortium of Chinese investors.
The divestment, which is a part of Olam's revised strategy to restructure the Wood Products portfolio, includes the sale of two saw mills in the Makokou region, 2.5 hectares of land in the Special Economic Zone at Nkok and associated forestry concessions.
The transaction will result in a one-off loss of US$4.5 million on the sale of assets.
Olam will also record a one-time restructuring charge of US$6.5 million.