Sappi Southern Africa has received unconditional approval from the Competition Commission to sell its Lomati Sawmilling business to Normandien Farms. The official handover is scheduled for 1 September 2025, paving the way for a new chapter in the mill’s 50-year legacy.
The Lomati Sawmill, established in 1971, has long been a cornerstone of Mpumalanga’s timber industry. Known for producing SABS-approved, kiln-dried pine lumber, the mill supports a wide range of sectors, including building, furniture, and packaging.
Over the years, Lomati has grown through multiple expansions and modernisations, including upgrades to its wet mill, kilns, and finger joint plant. With a production capacity of 86 000 m³ per year, it remains a vital contributor to the regional economy.
Graeme Wild, chief executive of Sappi Southern Africa, noted the community and strategic significance of the deal: “We are pleased to have concluded the sale of the Lomati Sawmill to Normandien Farms,” he said.
“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.”
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Jobs and growth secured
Sappi will transfer the Lomati mill as a going concern, ensuring that all current employees retain their jobs. This move reflects a broader commitment to responsible corporate transitions that prioritise people and communities, not just profits.
For the workers at Lomati, the deal offers continuity and stability, while opening opportunities under new ownership to innovate and grow.
For Normandien Farms, acquiring Lomati aligns with its growth strategy in South Africa’s timber industry. The privately owned company, which also operates the fast-growing Thirsti bottled water brand, brings experience and ambition to the table.
CEO Sean Hoatson said, “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.”
Normandien operates strategically located processing plants and forestry operations across KwaZulu-Natal and Mpumalanga, supplying quality sawn timber to both local and international markets.
The company prides itself on a strong culture of entrepreneurship and continuous improvement, with all plants accredited by SABS or SATAS.
This transaction represents more than a business deal. It is a story of community resilience, continuity, and future growth. By securing employment and enabling the mill to thrive under experienced stewardship, the Lomati handover will continue to provide livelihoods, support local suppliers, and strengthen Mpumalanga’s timber sector.
As Sappi refocuses on its core businesses of dissolving wood pulp and containerboard, the company remains committed to Mpumalanga’s forestry landscape, demonstrating that strategic business decisions and community welfare can go hand in hand.
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Ivor Price
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