PLS’ 51%-owned entity, PLS LESB Sdn Bhd, had entered into a head of agreement with Millennium Agriculture Technology Sdn Bhd a subsidiary of MYFARM, Inc., Japan on the proposed investment by MAT of up to 49% equity interest in the company.
Under the HOA, MyFarm own MAT will invest up to 49% equity interest for total consideration of up to RM181.8 million and has agreed to pay RM3.6 million as a refundable earnest deposit equivalent to 2% of the Investment Consideration.
The deal will see the parties carrying out the business of the commercial exploitation of up to 1,000 hectares of durian plantation being cultivated and developed. PLS said the proposed Co-Investment is subject to negotiation and finalisation of terms between the Parties of the definitive agreements and obtaining of all relevant Shareholder, Board, regulatory or other consents and approvals as may be necessary.
MAT is a newly incorporated company in Malaysia for the purpose of investment and management of agriculture and plantation businesses. Currently, 100% held by Mr. Chuah Yeon Hang, MAT will before execution of the definitive agreements be majority owned by MYFARM.
While MYFARM is a Kyoto-based Japanese integrated agriculture consultancy and farmland reactivating network that connects agri-asset and farmers to a broader horizon and working towards a sustainable future. It focuses on the regeneration of abandoned farmland and monetization business, seed business, training and education business, connection and distribution business, personnel referral services and providing support to companies entering the agricultural industry including commercialization.
