In Malaysia, the Group owns valuable land with significant property-development potential, as well as a substantial minority share of a property-development company.
- 70 hectares of plantation land in Peninsula Malaysia, with property-development premium;
- 40% share of a substantial property-development company, Bertam Properties, near Penang Island, Malaysia, with a land bank of 300 hectares.
Previously, the Group owned six small oil-palm estates in Peninsula Malaysia, totalling around 4,000 hectares which possessed, in varying degrees, property-development potential. Five of these estates were sold with the proceeds being reinvested in Indonesian palm-oil projects.
The remaining Bertam Estate was sold to Bertam Properties Sdn. Berhad, in which the Group retains a 40% interest. Bertam Properties is currently developing this land into housing, industrial and leisure facilities. Of the original land, 107 hectares remain available for development. In July 2020, the Group reached a conditional agreement Disposal of land with Bertam Properties to sell it the remaining 70 hectares of Malaysian land directly owned by the Group. The sale is expected to complete during the first half of 2021.
It is the Group's long-term aim to realise the value of its property-development assets in order to fund the acquisition or development of further new Indonesian palm-oil projects.