Aug 3 (Reuters) - Rural Funds Group RFF.AX :
* RURAL FUNDS MANAGEMENT CONTRACTED TO BUY 5,409 HA OF SUGAR CANE FARMS AND 8,060 ML OF WATER ENTITLEMENTS FROM MSF SUGAR PTY LTD
* DEAL FOR $81.1M
* RFM INTENDS TO CONVERT FARMS TO ABOUT 2,200 HA OF MACADAMIA ORCHARDS WITH LARGE PORTION OF REMAINING AREA TO BE USED FOR CROPPING