14 August 2007 - KH Foods Limited announced on 19 June 2007 that it was in discussions with a number of parties who were interested in acquiring parts of KHF's business.
The KHF Board announces today, that with the support of KHF’s major shareholders, Washington H Soul Pattinson and Company Limited and Business Management Limited, it has entered into a binding agreement with George Weston Foods (GWF) under which GWF will acquire the operations conducted at Seaton (in Adelaide) and O’Connor (in Perth).
The sale of the operations will result in a book write-off in excess of $15M to KHF.
The divestment of these operations is expected to be completed during August 2007 and the proceeds will be used to retire KHF debt.