Muar Ban Lee to sell palm oil unit for RM35m

PETALING JAYA: Muar Ban Lee Group Berhad has entered into a memorandum of understanding (MoU) to dispose of its entire stake in Sokor Gemilang Ladang Sdn Bhd (SGL) to Kenali Berkat Sdn Bhd (KB) for RM35 million.
Muar Ban Lee told Bursa Malaysia that the disposal sum has taken into the consideration the novation of the sum owing from the creditors of SGL to KB.
Both parties are expected to enter into a definite agreement within six months from the MoU date.
SGL is involved in the management and operation of palm oil plantation.
Muar Ban Lee said the disposal represents a strategic opportunity for the group to unlock its investment, while the disposal proceeds will be used for working capital, repayment of borrowings and expansion of its core business.