Merger to create palm oil plantation giant
Malaysia plans to combine three key plantation and property firms in a multi-billion-ringgit merger that would be the largest in the country’s corporate history. The New Straits Times said conglomerate Sime Darby Bhd, Kumpulan Guthrie Bhd and Golden Hope Bhd would be merged to create an entity with a large earnings capacity along the lines of unlisted Petroliam Nasional Bhd, which earned RM163 billion (US$46 billion) in revenue last year. Sime Darby has a market capitalization of RM15.21 billion (US$4 billion), while Golden Hope and Kumpulan Guthries capitalization are RM7.44 billion (US$2 billion) and RM4.13 billion (US$1 billion), respectively. (November 23, 2006)