JOHANNESBURG - Freight and financial services company Grindrod said on Monday it had signed an agreement to sell its 20.3 percent share in NWK Limited to NWK Holdings for R204.1 million.
Last month Grindrod announced that as part of a strategic review process it intended to dispose of non-core businesses including its agricultural investments in NWK and Senwes.
“Grindrod’s focus is on unlocking sub-Saharan African trade corridors which requires the alignment of its investments along key corridors effectively providing logistical solutions for cargo flow. NWK is a good business but it does not fit into these corridors," CEO Andrew Waller said on Monday.
"We are very pleased to have concluded this agreement with NWK and NWK Holdings and expect to finalise the transaction by the end of September.”
NWK focuses on the storage and handling of grain and the provision of finance, market access, production inputs and other value-added services primarily to grain producers.
The business, whose history dates back to 1909, has been instrumental to the development of the agricultural sector in South Africa.