Boustead Plantation plans to acquire plantation land in Sandakan for RM433m

PETALING JAYA: Boustead Plantations Bhd is planning to acquire 5,531.25 hectares of plantation land and palm oil mill in Sandakan, Sabah at an indicative purchase price of RM433 million.
The group told Bursa Malaysia that its wholly owned subsidiary Boustead Rimba Nilai Sdn Bhd had issued a letter of intent dated May 8 to Sit Seng & Sons Realty Sdn Bhd for the proposed acquisition, which will include a 60-tonne per hour palm oil mill.
Boustead Plantations paid a refundable deposit of RM7.56 million today. If the acquisition does not materialise, the vendors will have to return the deposit without interest within 5 working days. A due diligence will also be conducted for a period of 60 days.
At 3pm, Boustead Plantation's shares were unchanged at RM1.26 with some 187,900 shares done.