MARKET DEVELOPMENT
OHB Unit Gets Ministry Nod To Buy PT SSL For RM2.84 Million
OHB Unit Gets Ministry Nod To Buy PT SSL For RM2.84 Million
12/02/2016 (Bernama) - Oriental Holdings Bhd's (OHB) unit OBS Pte Ltd has received approval from Indonesia's Ministry of Law and Human Rights to acquire PT Sumatera Sawit Lestari (PT SSL) for RM2.84 million.
OBS, which is invoved in investments and grantiong of loans, is a wholly-owned subsidiary of Oriental Boon Siew (Mauritius) Pte Ltd, which in turn is a 50.5 per cent subsidiary of OHB.
In a filing to Bursa Malaysia on Thursday, OHB said the cash transaction follows a share subscription agreement entered into with PT Tradisi Bina Usaha and Saksono Benjamin.
PT SSL, whose principal activity is cultivation of palm oil, has a land concession of 8,000 hectares in the regency of Musi Rawas Utara, South Sumatera province.
"The acquisition is consistent with OHB's strategic plan to expand its planted land holdings in Indonesia. The land is located next to existing concessions owned by two other subsidiaries of the group.
"This expansion of upstream activities will enhance the value chain and allow the group to derive synergies through enhanced operations and optimisation of costs across its plantations through sharing common resources and expertise," OHB added.
OBS, which is invoved in investments and grantiong of loans, is a wholly-owned subsidiary of Oriental Boon Siew (Mauritius) Pte Ltd, which in turn is a 50.5 per cent subsidiary of OHB.
In a filing to Bursa Malaysia on Thursday, OHB said the cash transaction follows a share subscription agreement entered into with PT Tradisi Bina Usaha and Saksono Benjamin.
PT SSL, whose principal activity is cultivation of palm oil, has a land concession of 8,000 hectares in the regency of Musi Rawas Utara, South Sumatera province.
"The acquisition is consistent with OHB's strategic plan to expand its planted land holdings in Indonesia. The land is located next to existing concessions owned by two other subsidiaries of the group.
"This expansion of upstream activities will enhance the value chain and allow the group to derive synergies through enhanced operations and optimisation of costs across its plantations through sharing common resources and expertise," OHB added.