The 291-acre piece of land, referred to as Lindsay Central Valley by the company, was sold after a continuing review of strategic initiatives determined it “is not aligned with the company’s other orange and specialty citrus properties,” according to a news release.
The deal closed Aug. 26 and was announced by Limoneira on Sept. 2. The company received about $6 million in net proceeds from the sale; it will record “a one-time, non-cash loss of approximately ($300,000) in its third fiscal quarter” because of the sale.
“We are pleased with the sale of our Lindsay property which is in-line with our long-term strategy to streamline non-synergistic assets that do not meet our longer-term goals,” Harold Edwards, president and CEO, said in the release. “As with prior sales of non-synergistic assets, we will use the cash generated by the sale to pay down debt and to invest in the growth of our core agribusiness.”