Moody's affirms Sime Darby's ratings at A3, outlook revised to negative. - AFP file pic
KUALA LUMPUR: Sime Darby Bhd
's shareholders approved its proposed demerger to create three listed companies at the EGM here on Monday.
The corporate exercise would see Sime Darby Plantation hosting all the plantation businesses within the group, and Sime Darby Property will likely take charge of the property businesses.
The rest of the business, predominantly the heavy equipment, motor and other businesses like the ports that the group operates will be parked under Sime Darby.
Sime Darby Planation and Sime Darby Property will be listed on Nov 30. The ex-date for the shares is on Nov 27.
It was reported that Sime Darby is expected to announce the final reference prices for the three entities on Nov 24.
The group indicated that the listing reference price of SD Plantation and SD Property shares will fall within the percentage allocation range of 60%-68% for SD Plantation and 16%-19% for SD Property.
“Sime Darby (post demerger)’s share price will be adjusted by subtracting the listing reference price of identified entities.
“Maintain Add, with unchanged SOP-based target price of RM10. We expect Sime Darby’s share price to rerate on its plans to separately list its plantation and property units," said CIMB Equities Research.
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