Cocoaland Gets Takeover Offer From First PacificCocoaland Holdings has received an indicative non-binding proposal from First Pacific Company to acquire the business of Cocoaland including all of its assets and liabilities for RM463.3 million.
This is the second takeover offer after Cocoaland’s board rejected a takeover offer from private equity firm Navis Asia VII Management for RM377.5 million.
The proposal is conditional upon a few key things as well as the negotiation and execution of a sale and purchase agreement for the proposal on terms and conditions that should be satisfactory to all parties. Cocoaland should not have paid, made or declared any dividend or distribution from the date of proposal until completion of proposal.
Significance: Cocoaland and its management will not initiate or enter into any transaction, negotiation or discussion with any other party regarding such proposed disposal or takeover or respond to any approach made by any party with a view to any of the foregoing.
Kulim Plans 2 Property Projects In Johor
Kulim is coming back to the property industry as plans to develop to some 8,000 hectare of its oil palm plantations are in the pipeline.
Kulim plans to tap into the property industry as they foresee demand for the two strategic areas, which are within a 30 kilometre radius of the developing Petroliam Nasional’s Refinery and Petrochemical Integrated Development (RAPID) project in Pengerang.
Kulim hopes to start development on the 8,000 hectare land within the next two or three years to complement the development of RAPID, with the company acquiring 104 million barrels of oil from concession fields in Sumatra, Indonesia.
Significance: Waiting for the green light from the Indonesian authorities to approve the oil to be used for commercial production, the company is confident of seeing an increase in production in the next few years.
New Hoong Fatt Allocates RM20m Capex
New Hoong Fatt Holdings (NHF) has allocated a capital expenditure (capex) of RM20 million for FY2015 ending 31 December 2015.
The capex would be for the design and development of new parts, primarily for the development of tools and dies to manufacture the parts.
Most of the capex is to improve production capability so that more parts can produced, especially for exports.
Significance: For 1Q15 ended 31 March 2015, NHF’s net profit grew to RM4.4 million from RM2.5 million in 1Q14, driven by higher product demand in the overseas market. Revenue for 1Q15 improved to RM48.2 million from RM45 million in 1Q14.
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