WTK Holdings Berhad (WTK) has provided additional clarity regarding its proposed RM90 million cash disposal of Biogrow City Plantations Sdn Bhd (BCPSB). The detailed disclosure comes in response to a request for information from Bursa Malaysia Securities Berhad on June 4.
The transaction, originally announced on May 29, 2026, involves WTK’s wholly-owned units—Biogrow City Sdn Bhd and Bioworld Synergies Sdn Bhd—selling an 85% equity interest alongside redeemable preference shares in BCPSB to Rimbun Temasek Sdn Bhd. The exercise is expected to net the group an estimated corporate gain of RM72.7 million.
WTK confirmed that the entire RM90 million cash consideration has been earmarked to fortify the group’s internal working capital. The group plans to deploy the capital rapidly within a six-month window.
In its response, the company clarified the tenure specifics for the land parcels holding the plantation assets. The assets comprise four primary lots, all located under 60-year leaseholds set to expire in late 2059
The independent valuation reports anchoring the deal were prepared by corporate property valuation experts VPC Alliance (Sarawak) Sdn. Bhd. Furthermore, WTK disclosed that the cumulative net book value of the underlying plantation land and crude palm oil mill stood at RM33,634,811 based on the group’s latest audited financial statement dated December 31, 2025.
Addressing concerns over potential long-term financial overhangs, WTK confirmed to the regulator that the group will carry zero lingering financial baggage or third-party risk
