KLK’s stake buy in BPlant positive for the plantation giant

PETALING JAYA: Kuala Lumpur Kepong Bhd’s (KLK) proposed acquisition of a 33% stake in Boustead Plantations Bhd (BPlant) is expected to be slightly earnings dilutive over the short term.

Nevertheless, the deal would still be beneficial for the plantation giant over the long term, given BPlant’s asset-rich status, says Maybank Investment Bank (Maybank IB) Research.