Felda Global Ventures Holdings Bhd (FGV) is selling its 30% stake in Taiko Chemical Industries Sdn Bhd (TCC) for RM145 million cash.
FGV told Bursa Malaysia yesterday it has entered into a sale and purchase agreement with Orient View Sdn Bhd through Felda Palm Industries Sdn Bhd, a 72%-owned subsidiary of Felda Holdings Bhd, which inturn is a wholly-owned subsidiary of FGV.
FGV added the TCC’s expansion plan outside Malaysia does not correspond to the plantation giant’s investment involving capital expenditure in its non-core business.
The proposed disposal is not expected to have any significant impact on the group’s earnings per share and the future earnings.
FGV expects to complete the disposal in the second-half of 2018.