26/07/2008 (The Star Online), Kuala Lumpur - TH Plantations Bhd (THP) is buying a 51% stake in Syarikat Sabaco Sdn Bhd, a plantation company for about RM147.468mil in its move to expand its oil palm cultivation business.

In a filing to Bursa Malaysia, the company said the purchase, would be satisfied by RM34.806mil in cash while the balance through the issuance of new shares.

Syarikat Sabaco is involved in cultivation of oil palm, processing of fresh fruit bunches (FFB) and marketing of crude palm oil, palm kernel and FFB.

Besides that, TH Plantation is also buying a 100% equity interest in Ladang Bukit Belian Sdn Bhd for RM51.944mil.

Bukit Belian is mainly involved in cultivating oil palm and selling FFB.

Upon completion, total plantation land bank owned by TH Plantation would increase by 9,930ha to 38,660ha.

TH Plantation has also proposed to undertake a bonus issue of its 243.822 million new shares to be credited as fully paid-up on the basis of one bonus share for every one existing THP shares held after the proposed acquisitions.