Rimbunan Sawit To Sell 1,504 Ha In Miri To Trinity Capital For RM28 Mln

KUALA LUMPUR, Jan 13 (Bernama) -- Rimbunan Sawit Bhd's (RSB) is selling 1,504 hectares in Batang Baram, Miri for RM28 million.

The company said in a filing with Bursa Malaysia today that its subsidiary Sastat Holdings Sdn Bhd had entered into sale and purchase agreements (SPAs) with Trinity Capital Resources Sdn Bhd (TCRSB) for the disposal of the land at Lot 205 Teraja Land District.

RSB said the disposal consideration was determined on a willing-buyer, willing-seller basis after taking into consideration the Sastat Estate's market value of RM29 million appraised by independent valuer Henry Butcher Malaysia (Sarawak) Sdn Bhd using the discounted cash flow method.   

“The disposal consideration is intended to be utilised for working capital purposes, including defraying expenses in connection with the proposed disposal, and for investment and development of viable potential estate within 12 months from the date of receiving the disposal consideration,” it said.

RSB said the proposed disposal would allow the group to discontinue incurring high transportation costs due to the remote location of the estate, which is not integrated with its other estates and mills, and to avoid further capital expenditure to make the estate profitable.   

“The proposed disposal will allow RSB to concentrate resources on more profitable and better integrated estates and mills, thereby enhancing overall efficiency,” it added. 

The group added that the proposed disposal will not affect the company’s share capital or the substantial shareholders’ shareholdings as no new ordinary shares will be issued.

The transaction is subject to approvals from the Sarawak Director of Lands and Surveys, and is expected to be completed in the second half of 2026, barring unforeseen circumstances.

-- BERNAMA