By NG MIN SHEN / Pic By BLOOMBERG

IOI Corp Bhd has entered into a share acquisition agreement with Loders Croklaan Group BV to dispose of its entire equity interest, free from any encumbrances and together with all rights and benefits attaching thereto, in IOI Lipid Enzymtec Sdn Bhd (IOILE) to Loders for RM330.5 million.

The proposed sale is part of the internal restructuring in relation to IOI Corp’s proposed disposal of IOILE’s 70% stake in Loders.

IOI Corp revealed in an exchange filing last Friday, given that the transaction involves IOI Corp and its wholly owned subsidiaries, the disposal of IOILE — a manufacturer of specialty oils and fats — has no impact on the group’s consolidated financial position.

Loders will become the holding company of IOILE upon the completion of the sale.

According to the group, approval for the proposed disposal has been obtained from the central bank.

IOI Corp announced its intention to sell a 70% stake in Loders to Koninklijke Bunge BV, which is a unit of global agribusiness and food company Bunge Ltd, for US$595 million (RM2.34 billion) plus €297 million (RM1.43 billion) — totalling an estimated RM3.94 billion last September.

Apart from the sale of IOILE, the proposed disposal also includes the sale of IOI Edible Oils (HK) Ltd. IOI Loders Croklaan SC BV and Soyuz Loders Croklaan Corp, however, are not included in the sale. The group is expected to gain RM2.5 billion from the sale.

The proposed disposal is said to allow IOI Corp to enter into a strategic business collaboration with Bunge, as well as to leverage on the size of Bunge’s operations, established business network and expertise to build and expand Loders.

On a different note, the Malaysian Investment Development Authority on behalf of the government has given Freight Management Holdings Bhd’s wholly owned subsidiary, FM Global

Logistics (M) Sdn Bhd, a special incentive package for the development of an e-commerce fulfilment hub in Shah Alam, Selangor.

The special incentive package will enable FM Global Logistics to qualify for income tax exemption of 60% off the qualifying capital expenditure within a five-year period via the Investment Tax Allowance (ITA).

The ITA can be utilised to deduct up to 70% of the statutory income for each assessment year, according to the group’s exchange filing last Friday.

The statement also stated that the company will proceed to finalise the plans for the development of the e-commerce fulfilment hub in accordance with the conditions set out in the letter of approval.

The special incentive package is expected to contribute positively to the group’s future earnings, it added.

Freight Management’s shares closed one sen, or 0.78%, lower at RM1.27 last Friday for a market capitalisation of RM238.27 million. The stock saw 10,000 shares traded.