KUALA LUMPUR: Felda Global Ventures Holdings Bhd (FGV) today reiterated that it will provide Indonesia’s Rajawali Corporation with only 2.55 per cent stake as per agreement announced on June 12.
“FGV wishes to clarify that no such agreement regarding an increased stake has been made nor have discussions taken place at this point in time,” said Group President and Chief Executive Officer Datuk Mohd Emir Mavani Abdullah in clarifying wire agency reports that Rajawali was seeking at least a 21 per cent stake in FGV.
Rajawali was seeking to increase its stake should FVG decide to seek a controlling stake in PT Eagle High Plantations Tbk in which Rajawali is currently a major shareholder with 65.54 per cent equity interest.
Mohd Emir said FGV was currently going through the necessary process of due diligence and did not feel the speculation at this time was productive or helpful.
He also said FGV strongly emphasised its commitment to its shareholders, especially the settlers’ community to uplift their economic interest.
“And, their ownership rights to their land is well protected through the Federal Land Development Authority,” he said, adding that any further clarification on the deal can be confirmed with the Investor Relations and Corporate Communications team. — Bernama