Sappi concludes sale of Lomati Sawmill to Normandien Farms

Importantly, the approval has been granted without conditions, enabling Sappi to move ahead with the implementation phase of the transaction with the handover planned for 01 September 2025. 

In terms of the agreement, Sappi will transfer Lomati and its assets as a going concern, ensuring all current Lomati employees benefit from continued employment. Lomati is a legacy business in the Sappi portfolio, and this transaction presents an opportunity to transition ownership to an experienced industry player capable of driving future growth and transformation. Normandien is a reputable, privately owned South African industrial company operating in the sawmilling industry as Tekwani, and is also the owner of the fast-growing South African Thirsti bottled water business. 

Sappi remains confident that this transaction is in the best interests of all stakeholders. It enables us to focus on developing and growing our core businesses in Mpumalanga. We are committed to supporting a smooth handover that sustains employment and unlocks new growth potential for the mill, to the benefit of the greater Umjindi community. 

Commenting on the transaction, Sappi Southern Africa CEO Graeme Wild said: “We are pleased to have concluded the sale of the Lomati Sawmill to Normandien Farms. This transaction is in line with Sappi Southern Africa’s strategy to unlock value and focus on our key product segments of dissolving wood pulp and containerboard. Importantly, it also ensures the continued operation of the mill and the retention of jobs, which will benefit the greater Umjindi community. Our commitment to Mpumalanga remains strong through our forestry operations in the province.”

Normandien Farms CEO Sean Hoatson added: “The Lomati Sawmill fits perfectly with our strategy to expand our footprint in the South African timber industry. We look forward to building on the strong foundation established by Sappi and unlocking new opportunities for growth and innovation.”