PETALING JAYA: Kim Loong Resources Bhd
(KLRB) is acquiring a 75% equity interest in Kim Loong Mills (Sarawak) Sdn Bhd (KLMS) from Kim Loong Plantations Sdn Bhd (KLP) for RM10mil.
Announcing the related party transaction in a Bursa Malaysia filing, KLRB said KLMS owns 12 adjoining lots of mixed zone freehold vacant land totalling 51.731 hectares, all in Lachau, Pantu, District of Selanjan, Sarawak, which are intended for the construction of a palm oil mill.
KLRB said the acquisition is part of the group’s long-term strategy on setting up a palm oil mill in Sarawak and providing support to its plantation in Sarawak.
“The location of the proposed palm oil mill is near the KLRB group’s existing plantation in Sarawak.
“It is not easy to find a suitable location for a palm oil milling business in Sarawak.”
KLRB is principally involved in investment holding and cultivation of oil palm and its subsidiaries are involved in the cultivation of oil palm, processing of oil palm fresh fruit bunches and marketing of oil palm products (such as crude palm oil and palm kernel), processing of oil palm fibre and biogas and power generation.
