Consolidation of Holdings-Indonesian Subsidiaries

Anglo-Eastern Plantations PLC

12 July 2023

 

12 July 2023

Anglo-Eastern Plantations Plc

("AEP", "Group" or "Company")

Consolidation of AEP's Holdings in Its Indonesian Subsidiaries

AEP is pleased to announce the acquisition of the 25% of the issued share capital of PT United Kingdom Indonesia Plantations ("Ukindo") and the 10% of the issued share capital of PT Mitra Puding Mas ("MPM"), from PT. Canadianty Corporindo, the minority shareholder in Indonesia, for a total cash consideration of US$25.2million.

Following this transaction, the Company now wholly-owns both the Ukindo and MPM subsidiaries. The purchase of the minority interests in these two subsidiaries is in line with the Group's stated strategy of consolidating AEP's holdings in its Indonesian subsidiaries with the Group's cash resources, as reported in our 2022 Annual Report.

The acquisition of the minority interests in Ukindo and MPM is expected to enhance future earnings as it reduces non-controlling interests in these profitable companies.

As at 31 December 2022, the gross assets of Ukindo and MPM were approximately US$58.5 million and US$164.5 million respectively and the profits before tax for the year then ended were approximately US$11.6 million and US$37.3 million, respectively.

Under the FCA Listing Rules, the acquisition shares of the non-controlling interests in Ukindo and MPM constitute a Class 2 transaction and, as such, this announcement is made in accordance with AEP's disclosure obligations pursuant to Chapter 10 of the FCA Listing Rules. 

This announcement contains inside information for the purposes of Article 7 of Regulation (EU) No 596/2014, as it forms part of UK domestic law by virtue of the European Union (Withdrawal) Act 2018. Upon the publication of this announcement via a Regulatory Information Service, this inside information is now considered to be in the public domain.

The person responsible for this announcement is Dato' John Lim Ewe Chuan, Executive Director.

For further enquiry, contact:

Anglo-Eastern Plantations Plc

Dato' John Lim Ewe Chuan                                                                      [phone]

Panmure Gordon (UK) Limited

Dominic Morley / Amrit Mahbubani                                                          [phone]

 

END