Bursa Malaysia Stock Watch

Genting Plantations ' Expanding further into Indonesia

kltrader
Publish date: Mon, 16 Apr 2012, 12:49 PM
kltrader
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Genting Plantations ' Expanding further into Indonesia                                                          Outperform
News Update
-          Genting Plantations' subsidiary has entered into an S&P Agreement with Global Agrindo and Global Agripalm to establish a JV for the development of approximately 74,390 ha of oil palm plantation in Kalimantan Tengah, Indonesia for US$116m (RM356.3m). Upon completion of acquisition and subscription, GP's stake in the JV Co will be 63.2%. 14,150ha of land has already been planted, while another 4,195ha has been planted under the plasma scheme.
-          We maintain our fair value of RM10.45, based on an unchanged 17x CY12 target PER. Maintain Outperform.

Source: RHB Research - 16 April 2012
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