Teck Guan, Sarawak Oil Palms rise after units ink deals to sell palm oil to China

-A +A

KUALA LUMPUR (March 5): Shares in Teck Guan Perdana Bhd and Sarawak Oil Palms Bhd rose significantly today after China signed four purchase intent documents for the export of 1.62 million tonnes of palm oil from Malaysia — two of which were inked with Teck Guan's and Sarawak Oil Palm's subsidiaries.

At 2pm, Teck Guan was trading up 12.5 sen or 16.13% to 90 sen — its highest level so far today — after 39,000 shares exchanged hands.

Meanwhile, Sarawak Oil Palms was trading at its highest level so far today at RM2.65, up 11 sen or 4.33%, with 46,400 shares traded.

Yesterday, Teck Guan's subsidiary Cacao Paramount Sdn Bhd inked one of the palm oil purchase deals with China's Yizheng Fangshun Industry Ltd Co, under which the latter would buy 120,000 tonnes of refined, bleached and deodorised (RBD) palm stearin.

Yizheng Fangshun also signed a similar document with Sarawak Oil Palms' subsidiary SOP Edible Oils Sdn Bhd for the purchase of 100,000 tonnes of RBD palm olein.

The total four palm oil purchase deals inked yesterday, including the two above, are worth an estimated total of US$891 million (about RM3.64 billion).