MARKET DEVELOPMENT
Sime Darby Sells 55% Stake in China Unit for RM45M
Sime Darby Sells 55% Stake in China Unit for RM45M
02/12/2014 (The Star) - Sime Darby Bhd is selling a 55% stake in its China-based unit Rizhao Sime Darby Oils & Fats Co. Ltd (RSDOF), for RM45.2mil to Shandong Wanbao Agricultural Co., Ltd.
It said on Tuesday RSDOF’s core activities are refining, storage and marketing of palm oil related products.
RSDOF has an edible oil bulking facility in Rizhao, Shandong Province, China. The facility is in a prime industrial area near the Rizhao Port
Shandong Wanbao’s core business is selling agricultural products including palm oil.
“Shandong Wanbao is expected to complement RSDOF’s future business direction in the edible oils market and storage facilities,” it said.
Sime Darby added the proposed transaction offers a good opportunity for Sime Darby to improve its commercial ability and viability in other edible oils in China.
It expects the proposed transaction to be completed within six months from the date of execution of the equity transfer agreement, which was signed last Friday.
It said on Tuesday RSDOF’s core activities are refining, storage and marketing of palm oil related products.
RSDOF has an edible oil bulking facility in Rizhao, Shandong Province, China. The facility is in a prime industrial area near the Rizhao Port
Shandong Wanbao’s core business is selling agricultural products including palm oil.
“Shandong Wanbao is expected to complement RSDOF’s future business direction in the edible oils market and storage facilities,” it said.
Sime Darby added the proposed transaction offers a good opportunity for Sime Darby to improve its commercial ability and viability in other edible oils in China.
It expects the proposed transaction to be completed within six months from the date of execution of the equity transfer agreement, which was signed last Friday.