June 11, 2010 (LBO) – Sri Lanka’s Carsons group has brought all its South East Asian oil palm plantations under its Singapore subsidiary with the transfer of stakes in Indonesian and Malaysian units, a stock exchange filing said. “With the transfer of the assets the plantations land bank and the asset base of GAHL will increase thereby enabling it to further expand leveraging on the strength of a higher combined asset base.
“Further, value creation to the shareholders of GAHL will accrue through enhanced bargaining power with financiers as well as customers and suppliers and through integration with the industry value chain.”
Carsons has previously said that the revamp will enable the group to establish a “stronger presence in the palm oil industry in its home base in south east Asia.”
It has noted that the major industry players in the oil palm industry are based in Malaysia, Indonesia and Singapore.
The plantation business of Carsons covers an extent under cultivation of 80,000 hectares and crude palm oil processing capacity of 270 metric tonnes an hour. The move is part of a restructuring of the Carson Cumberbatch group to create an integrated plantations firm with a bigger asset base and greater bargainin