Thursday 28 Mar 2024
By
main news image

KUALA LUMPUR (Dec 3): Shareholders have given Kulim (M) Bhd the go-ahead to dispose its 49% stake in London-listed New Britain Palm Oil Ltd (NBPOL) to Sime Darby Bhd at £525.40 million or RM2.75 billion.

In a filing with Bursa Malaysia today, Kulim said the resolution on the proposed disposal was duly approved at the extraordinary general meeting (EGM) which was held in Johor Bahru, Johor, this afternoon.

"The board of directors of Kulim is also pleased to announce that Kulim has accepted the offer made by Sime Darby Plantation Sdn Bhd on Oct 9, 2014," it said.

The acceptance will result in Kulim disposing its entire stake in NBPOL, comprising more than 73.48 million shares, at the offer price of £7.15 apiece.

With the closing price of £6.75 yesterday, Kulim's 49% stake in NBPOL is worth some £496 million.

To recap, Sime Darby had in October this year launched a takeover offer for the entire 100% stake in NBPOL for £1.07 billion (about RM5.7 billion) in cash. The takeover offer is conditional upon Sime Darby receiving not less than 51% of the voting rights in NBPOL.

In Nov 13, Sime Darby Bhd president and group chief executive Tan Sri Mohd Bakke Salleh reportedly said "to own 51% stake in NBPOL is ideal" for the local conglomerate. He also said the Papua New Guinea (PNG) government intended to raise its stake in NBPOL from 18% to 30%.

NBPOL produces palm oil exclusively in Papua New Guinea (PNG) and the Solomon Islands. It has 77, 000 ha of oil palm plantation in PNG and the Solomon Islands, 12 palm oil mills, and one refinery each in PNG and Liverpool, UK.

The group is also the largest sugar and beef producer in PNG through its over 7, 718 ha of sugar cane plantations and 9,282 ha of grazing pastures, as well as owning a seed production and palm breeding facility. At 2.34pm today, Kulim declined 4 sen or 1.2% to RM3.29, with 159,000 shares done, giving it a market capitalisation of RM4.37 billion.

      Print
      Text Size
      Share