Crookes Brothers, one of Africa’s leading agribusiness groups, is negotiating the potential sale of its entire interest in two Mozambique-based macadamia farming businesses for just $2, as it advances plans to exit the operations.

The South African agricultural group listed on the Johannesburg Stock Exchange said it is negotiating the disposal of its 100% interests in Murrimo Macadamia Limitada and Murrimo Farming Limitada, together with shareholder loans, for an aggregate consideration of $2.

The proposed transaction follows Crookes Brothers’ decision, disclosed in its audited financial results for the year ended March 31, 2026, to begin exiting Murrimo Macadamia.

Debt drives proposed disposal

Murrimo Macadamia currently has an $8 million, 10-year term loan, of which approximately $5 million remains outstanding, excluding about $0.4 million in accrued interest. Based on the prevailing US dollar-to-rand exchange rate, the outstanding loan and interest amount to approximately R86 million.

If the proposed disposal is concluded on the terms currently under negotiation, the outstanding loan would be extinguished and derecognised from Crookes Brothers’ consolidated financial statements.

This means the company could transfer its interests in the two operations for nominal consideration while simultaneously removing the associated debt from its balance sheet.

Crookes Brothers moves to exit Murrimo

The potential disposal forms part of Crookes Brothers’ broader efforts to address the financial position of its Murrimo operations.

The company did not disclose the identity of the prospective buyer or provide details of the commercial terms beyond the proposed $2 aggregate consideration and treatment of the shareholder loans.

Negotiations remain ongoing, and the proposed transaction is therefore not yet certain to proceed.

Crookes Brothers cautioned shareholders to exercise care when dealing in its securities until a further announcement is made. The financial information contained in the cautionary announcement has not been reviewed by the company’s auditors.

The potential disposal marks another step in Crookes Brothers’ restructuring of its agricultural portfolio as it seeks to exit the Murrimo businesses and eliminate the substantial debt associated with the Mozambique operations. Further disclosures will determine whether the transaction is completed and how the disposal affects the group’s financial position.