Horticultural company Costa Group Holdings (ASX:CGC) has signed a conditional agreement for the acquisition of the farming operations of Nangiloc Colignan Farm in North West Victoria.
The farm is a grower of high quality citrus and grapes across 567 hectares.
The transaction agreements have been entered into in conjunction with a subsidiary of CK Life Sciences International Inc.
Under the agreement, the CK Life Sciences group will acquire the farm and subsequently enter into a 20 year lease of the farm to Costa.
The principal activities of CK Life Sciences are investment holding and the activities of its subsidiaries include investment in nutraceuticals, pharmaceuticals and agriculture-related products and assets.
The acquisition is expected be completed in late 2018.
Costa Group Holdings (ASX:CGC) shares are up 7.6 per cent t $6.63.