Kulim accepts offer

 By GYNNIE KERO

KULIM has accepted the offer made by Sime Darby Plantation for the sale of its stake in New Britain Palm Oil Ltd (NBPOL).

In October, Sime Darby Plantations offered GBP547 million (K2.14 billion) to acquire a 51% stake in the NBPOL.

Two months ago during a trip to Port Moresby, Sime Darby Group president and chief executive Mohd Bakke Salleh (pictured) said the group hoped to work with the Papua New Guinea Government and NBPOL to grow the country’s palm oil industry. 

Sime Darby is a diversified multinational group with core businesses in industrial, motors, property, energy and utilities and plantation, and 100,000 staff.

In a meeting on Wednesday, Kulim’s board of directors said the company had approved the offer made by Sime Darby Plantation on Oct 9.

Kulim said the acceptance would result in it selling its entire equity interest in NBPOL comprising 73.48 million shares at the offer price of GBP7.15 (K28.79) per share.

Malaysia’s The Star has reported that the reason Kulim wanted to dispose of its stake in NBPOL, which it had bought into in 1996, was because it was unable to exert management control over it. 

Kulim is focusing on plantations at the moment and plans to move into oil and gas exploration.

NBPOL chief executive Nick Thomson had said the NBPOL would delist the company from London Stock Exchange, however maintain the Port Moresby Stock Exchange listing once the offer by Sime Darby is completed.