Tuesday Nov 19, 2024
Tuesday Nov 19, 2024
Tuesday, 11 June 2013 00:00 - - {{hitsCtrl.values.hits}}
Sunshine Holdings PLC (SUN) and Tata Global Beverages (TGB) recently announced the successful completion of Pyramid Wilmar Plantations’s proposed investment into Estate Management Services (EMSPL) is a joint venture between Sunshine Holdings and Tata Global Beverages Ltd.
This follows the initial announcement to the Colombo Stock Exchange on 28 Nov 2012 made by SUN. Pyramid Wilmar Plantations (Private) Limited (PWPPL) is a joint venture between Asia’s leading agribusiness group, Wilmar International Limited, listed on the Singapore Stock Exchange and Wressle Holdings Ltd.
In accordance with the terms of the agreements signed recently, SUN and TGBL will divest their shares proportionally to accommodate PWPPL’s investment into EMSPL. This move will help further strengthen EMSPL’s presence in Sri Lanka, by leveraging on PWPPL’s expertise in the agricultural commodities value chain.
Sunshine Holdings PLC Group Managing Director Vish Govindasamy said: “Our 20-year partnership with TGBL has been a wonderful journey from plantations to branded business. When we formulated the JV in 1992, there were high expectations all around and am happy to note that we have exceeded all stakeholder expectations.”
“Today, it’s with that same enthusiasm, we embark on another journey through the partnership with Pyramid Wilmar Plantations.” he added. “The partnership will bring in Wilmar’s expertise in the entire value chain of the agricultural commodity processing business to the EMSPL Group. We look forward to building on the value that has been nurtured through our partnership with TGBL for the last 20 years.”
Post divestment, Sunshine Holdings shareholding in EMSPL would be reduced from 51% to 33.15%.
TGBL Chief Executive Officer and Managing Director Harish Bhat, who was in Colombo for the signing also commented, “Tatas’ Sri Lanka entry would not have happened without Sunshine Holdings. At Tata Global Beverages, we have had an excellent and rewarding partnership with Sunshine over the past two decades and more, and jointly own and share with our partners, an ambitious vision for this Company. Our future in Sri Lanka will be further strengthened by this new partnership with Pyramid Wilmar Plantations”.
Pyramid Wilmar Plantations Managing Director Sajad Mawzoon echoed: “We are very excited to work with both Sunshine and TGBL in the plantation sector to expand our value chain in Sri Lanka.”
He said, “Understandably, expectations are high and we look forward to working closely in creating sustainable value all around.” The EMSPL Group owns oil palm plantations in Sri Lanka in excess of 3,000 ha, which are of interest to Wilmar as it operates the largest palm oil refinery in Sri Lanka, in a separate joint venture with Wressle Holdings.
Wilmar plans to develop further oil palm estates jointly with its partners to increase domestic sourcing of crude palm oil.
