Thailand's only newsprint manufacturer Norske Skog Singburi changes hands. Thai investors will buy the mill for $33m.
Norske Skog is going to divest its Singburi mill in Thailand to a Thai industrial group for a total consideration of $33m. According to Oslo-based newsprint and magazine paper manufacturer, the company has already agreed on the terms of transaction and the deal is scheduled for closure in the fourth quarter this year.
Norske Skog expects the transaction to improve its cash flow and financial situation by creating "a small financial gain." Final accounting effects of the transaction will be announced in the company's 2013 fourth quarter financial statement.
Norske Skog's Singburi mill is said to be the only newsprint producer in Thailand. The mill employs approximately 240 people and has a total newsprint production of 125,000 tpy of recycled newsprint. The new owner had a long-term plan for the mill and would continue producing newsprint at the Singburi site, Norske Skog explained in a press release on 7 October.