OREANDA-NEWS. December 24, 2014. RusForest AB completes divestment of its non-core Boguchany forestry assets in the Krasnoyarsk region, Russia, as the company said in the press release received by Lesprom Network.

In March 2014, RusForest announced the sale of the Boguchany sawmill, Boguchansky LPK. RusForest has now completed the sale of the Boguchany harvesting company, RusForest Angara LLC, to the same buyer. The total value of the Boguchany transactions increased from USD 13.8 million to USD13.9 million, and the total net cash received by RusForest increased from USD 4 million to USD 4.9 million.

Matti Lehtipuu, the Company’s Group CEO, commented, “We have now completed the RusForest turnaround and created a platform with positive cash flow, a strong cash balance and an opportunity to reach positive net income in 2015.”

The sale of the Boguchany harvesting company is expected to result in a gain of approximately USD 0.6 million in the 4Q 2014 financials to be released on March 31, 2015.

RusForest is a Swedish forestry company operating in Eastern Siberia. The Company controls long-term timber leases and utilizes these resources to produce a wide range of sawnwood products.