Iliad Africa Ltd Announces Sale Of Wholesale Timber Business To York Timber Holdings Limited's Subsidiary

Iliad Africa Ltd announced that Iliad Africa Trading (Pty) Limited and United Tube (Pty) Ltd, both wholly owned subsidiaries of Iliad, have accepted an offer dated March 13, 2013 in terms of which Iliad will sell Timber Wholesale business to Agentimber Proprietary Limited, a wholly owned subsidiary of York Timber Holdings Limited. York will acquire the defined tangible operating assets, defined liabilities and intangible assets of the Timber Wholesale business as a going concern, as at the effective date which is to be determined after regulatory approval has been obtained. The sale price in respect of the above sale transaction is the net asset value (NAV) of ZAR45.5 million, payable in cash. The proceeds of the sale transaction will be utilised to fund working capital requirements and future growth. It is anticipated that the conditions precedent will be fulfilled prior to June 1, 2013.