Sime Darby Plantation has announced that its subsidiary ASM and MGG had entered into two Conditional Shares Sale and Purchase Agreements with PT Global Berkat Usahatama for the disposal 100% equity interest in a plantation in Indonesia called PT Ladang Grumpun Suburabadi and PT Sajang Heulang at a combined total cash consideration RM518 million.
Upon completion of the proposed disposal, both plantations will cease to be indirect subsidiaries of Sime Darby Plantation Berhad. ASM is a company incorporated in the Republic of Indonesia and is a wholly owned subsidiary of SDPB via Mulligan International B.V. and Guthrie International Investment (L) Ltd, which together hold 100% of the issued and paid-up share capital of ASM. Mulligan is a company incorporated in the Netherlands and is a wholly-owned subsidiary of SDPB which holds 100% of the issued and paid-up share capital of Mulligan.
SDPB said the reason behind the proposed disposal arose from the internal re-organisation of SDPB subsidiaries in the Republic of Indonesia whereby non-core operations are to be disposed of to enable the SDPB subsidiaries in the Republic of Indonesia to be more focused on its core business operations.
Further, following the appointment of GBU (the buyer) by AKMP (lawsuit filed by) to proceed with the sale and purchase of shares in LSI and SHE (the two plantations) with GBU, and subsequently the agreement by AKMP to enter into the Settlement Agreement with the Defendants, the Proposed Disposal will result in full and final settlement and conclusion of the AKMP Lawsuit.
SDPB said the Proposed Disposal will not have any effect on the share capital and the substantial shareholders’ shareholding as it does not involve the issuance of new ordinary shares. The group is expected to record a net gain on disposal of approximately RM107 million (which translates into a gain per share of 1.5 sen) in the financial year ended 31 December
2023.
