Sabah estates purchase expensive, say analysts

Analysts said this adding that in the near term, Boustead Plantations would need to monetise more of its estates in Peninsular Malaysia to supplement its income and sustain its dividend payouts.

PETALING JAYA: Upstream oil palm company Boustead Plantations Bhd’s acquisition of estates in Sabah from Dutaland Bhd is expensive and unlikely to be profitable in the first couple of years.

Analysts said this adding that in the near term, Boustead Plantations would need to monetise more of its estates in Peninsular Malaysia to supplement its income and sustain its dividend payouts.