FGV: EHP stake buy among issues raised by Council of Eminent Persons
Zakaria also explained about other past and proposed asset acquisitions by FGV
THE acquisition of a 37 per cent stake in Indonesia’s PT Eagle High Plantation Tbk (EHP) is among the issues raised by the Council of Eminent Persons during a meeting with Felda Global Ventures Holdings Bhd (FGV) group president and chief executive officer Datuk Zakaria Arshad.
Zakaria said he was asked to explain asset acquisitions made by the company in the past.
“The council asked me about acquisitions or proposed acquisitions made in the past, so I explained that to them. EHP was one of them,” he said after the meeting, here, yesterday.
He said other experts on palm oil were also present.
Overall, Zakaria said the meeting was good and the group was given the assurance that there would not be any political involvement in government-linked companies such as FGV.
“I am very pleased with the advice given by the council and the experts.
“It was positive and good. We are confident with the new government and our share price movement has been on the uptrend, signalling investor confidence in the company.”
When asked about the suggestions made during the meeting, he did not elaborate.
“Let me bring this to the FGV board of directors first.”
Federal Land Development Authority (Felda), through Felda Investment Corp, bought the EHP stake worth RM2.26 billion from Rajawali Group.
In April last year, then chairman Tan Sri Shahrir Abdul Samad said Felda represented the government’s interest in the EHP deal and that it was selected due to its expertise in managing oil palm plantations.
He was quoted as saying that Felda was looking at venturing into the downstream business in Indonesia through EHP.