Ballarpur Industries today said it has signed an agreement to sell its Malaysian unit Sabah Forest Industries to Pelangi Prestasi Sdn Bhd for USD 310 million (approx Rs 2,011 crore), the company said today.
As per the agreement signed on April 4, Pelangi Prestasi has already deposited 10 percent of the total consideration in cash, Ballarpur Industries said in a regulatory filing.
The buyer is a part of Albukhary Group of companies, Malaysia, promoted by Syed Mokhtar Albukhary, who has a net worth of USD 1.70 billion approximately, it added.
"The buyer has deposited 10 percent of the consideration in cash. The said agreement is subject to necessary corporate and regulatory approvals, including appropriate court orders of the High Court of Sabah & Sarawak, Malaysia," it added.
The AlBukhary Group operates in banking, seaport, e-commerce, construction & engineering, book retail, sugar & palm oil plantations and airport management sectors.
Earlier, in July 2016 Ballarpur Industries' deal to sell 98.08 percent stake in Sabah Forest Industries to Pandawa Sakti had fallen through with the buyer not meeting conditions after repeated extensions of closure deadline.
It had acquired Sabah Forest in 2007 for USD 261 million.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
