KUALA LUMPUR, Aug 5 — IOI Corp Bhd has completed the sale of 1,800 shares, representing its 10 per cent shareholdings in Bunge Loders Croklaan Group B.V. (BLC) to Koninklijke Bunge B.V. (KBBV), for a total of US$84.42 million (RM376 million) plus €19.72 million (RM89.9 million).
KBBV is a wholly-owned subsidiary of United States-listed Bunge Ltd (Bunge).
“With the completion of the share sale, the company’s equity interest in BLC has reduced to 20 per cent from 30 per cent.
“Accordingly, the existing Put and Call Options provided in the shareholders’ agreement have been terminated,” IOI said in a filing with Bursa Malaysia today.
The company further said that the estimated loss arising from the share sale is about RM50 million, which mostly relates to fair value loss from the derecognition of the terminated Put and Call Options.
However, IOI said that the existing business collaboration between the company and Bunge remains, and both parties will continue to harness the benefits of the existing synergistic partnership in expanding BLC’s business.
The company had in 2018 completed the disposal of its 70 per cent stake in Loders Croklaan Group BV and its related businesses to Bunge for RM3.79 billion cash.
On September 12, 2017, IOI entered into a definitive share purchase agreement with KBBV for the proposed stake sale for US$946 million, comprising €297 million and US$595 million, subject to adjustments that could be made for items such as foreign exchange effects.
IOI acquired the entire business of Loders from Unilever Plc and Unilever NV for RM814 million cash in 2002. — Bernama