Comprehensive M&A data with integrated detailed company information

FIMA to purchase palm oil plantation unit of Java
Posted on Monday, 09 October 2017 10:14
FIMA is acquiring Java Plantations for MYR 5.20 million (USD 1.23 million) via its entity FCB Plantation Holdings in order to expand its oil plantation business in Malaysia.

Completion is slated for the fourth quarter of the financial year ended 31st March 2018.

Incorporated in 1991, the target is a wholly-owned subsidiary of logging firm Java.

Java Plantations currently holds an oil palm plantation land in northeast Malaysia with an area of 1,331 hectares through a partnership with Kumpulan Pertanian Kelantan.

The asset has a lease period of 66 years and will expire on 28th September 2069.

Listed on Bursa Malaysia, FIMA operated nine oil palm estates with a total landbank of 23,414 hectares both in Indonesia and its home country as of 31st March 2017.

Apart from that, the acquiror prints high security and confidential documents like passports and licenses for both the local and overseas markets.

FIMA also has a property management division which holds office and industrial buildings in Malaysia.

The public group posted revenue of MYR 372.10 million in the 12 months ended 31st December 2017, down slightly from the MYR 375.20 million recorded in the previous year.

Profit after tax for the period totalled MYR 61.30 million, compared to MYR 77.30 million in 2016.

According to Zephyr, the M&A database published by Bureau van Dijk, globally, there have been 48 deals targeting oilseed farming companies announced since the beginning of this year.

The largest of these was Archer Daniels Midland Asia-Pacific’s SGD 184.17 million acquisition of a 0.8 per cent stake in Wilmar International, a Singapore-based palm oil planation operator, which completed in January.

Others targeted during the period include Agricore Global, Knowledge One Investment and Wilmar International.

© Zephus Ltd