/ 24 May 2000

APPI SELLS NOVOBORD OPERATION

INTERNATIONAL paper group Sappi sold its Sappi Novobord operation to the Portuguese Sonae Industria conglomerate for an undisclosed sum on Wednesday. The sale, which is still subject to approval by the Reserve Bank and Competition Commission, forms part of Sappi’s drive to raise R2-billion by disposing of non-core assets. Sappi strategic developments director Robert Hope declined on Wednesday to disclose the Novobord sale price but said it brought Sappi’s earnings from the sale of non-core assets to US$326-million or roughly R2,2-billion since May 1998.