Felcra aims to develop the cattle station into the world’s first halal livestock valley, with HDC as the advisor.
KUALA LUMPUR: Felcra Bhd plans to diversify its business following the signing of a memorandum of understanding (MoU) with Grain Synergy Global Pty Ltd.
The MoU is to form a consortium for the takeover of the 189,700-hectare Yakka Munga cattle station in Western Australia worth AU$22 million.
Felcra chairman Datuk Bung Moktar Radin said the consortium comprised Felcra, Grain Synergy, the Halal Industry Development Corporation (HDC), Indonesia-based PD Dharmajaya and PT Agro Jabar.
“This venture is good for us as we cannot solely rely on the rubber and oil palm businesses which are heavily dependent on the world market.
“We are also continuously looking to venture into non-agriculture businesses,” he told a press conference here at the two-day World Halal Conference 2014 which ended here yesterday.
Grain Synergy, a maize plantation company, signed an agreement to acquire and develop the cattle station from Alchemy Agriculture Private Ltd, with the takeover exercise expected to be completed by August.
Bung Moktar said Felcra aims to develop the cattle station into the world’s first halal livestock valley, with HDC as the advisor.
“Felcra will be a main stakeholder of this venture and the equity structure of the consortium will be determined later” he added.
Meanwhile, asked about the potential listing of a Felcra’s subsidiary on Bursa Malaysia, Bung Moktar said this has always been a priority in the company’s business plan.
“We are looking to list a non-plantation subsidiary next year,” he said while declining to elaborate further. — Bernama