Jan 24, 2006. Norske Skogindustrier ASA said it agreed to sell its wholly-owned subsidiary Forestia AS to Norway's Byggma ASA at a marginal loss compared to its book value.
Norske Skog sells Forestia unit to Byggma at marginal loss
Jan 24, 2006. /Lesprom Network/. Norske Skogindustrier ASA said it agreed to sell its wholly-owned subsidiary Forestia AS to Norway's Byggma ASA at a marginal loss compared to its book value.
The sale will reduce Norske Skog's net interest-bearing debt by around 170 mln nkr.
The financial loss will be booked in the fourth quarter results.
The transaction is dependent on due diligence and approval by both companies' boards. The deal is expected to close by late February.
Forestia produces wood-based boards for use in the building and furniture sectors.
The company has 270 employees at three plants in Norway, with annual sales totaling around 600 mln nkr.
