ASF Group (ASX:AFA) finalized a share sale and purchase agreement with Terra Mineral Resources Investment for Terra to acquire all issued shares in ASF Coking Coal, a wholly-owned non-core unit, for a cash consideration of AU$3.1 million, according to a Monday Australian bourse filing.
ASF Coking Coal holds a portfolio of nine coal tenements in Queensland. The deal is scheduled to be completed within 15 calendar days following the deal's execution date.
ASF plans to use the funds from the divestment for future growth initiatives, investment opportunities, and to strengthen its ongoing working capital position.