Compugates and Westwood sign agarwood sale and cutting pact

KUALA LUMPUR: Compugates Holdings Bhd ’s unit, Compugates Marketing Sdn Bhd, has signed a standing agarwood sale and cutting agreement (SASC) with Westwood Marketing Sdn Bhd worth RM43.884mil.

In a filing to Bursa Malaysia on Friday, Compugates Holdings said Westwood Marketing had agreed to buy the standing agarwood trees in a one-year term while Compugates Marketing had agreed that it would not sell except to Westwood Marketing in that period.

“Westwood Investment Group took an interest in the agarwood segment due the high demand for its wood and oil with the main market demand coming from China, Taiwan, Japan and the Middle East,” it said. 

Compugates Holdings said trade value annually through Singapore was estimated at US$1.2bil (RM4.3bil); thus Westwood Investment Group took a very keen interest in this agricultural segment.

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