RPT-Malaysia's Boustead gets approval to list oil palm plantation arm

Mon Mar 24, 2014 10:10am EDT

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KUALA LUMPUR, March 24 (Reuters) - Boustead Holdings Bhd , Malaysia's defence-to-financial conglomerate, said on Monday it has obtained approval from regulators to list its oil palm plantation arm Boustead Plantations on the Kuala Lumpur stock exchange.

The listing, which is aimed to streamline the conglomerate's operations and achieve economies of scale, could raise around 1 billion ringgit ($300 million) based on the assumption used in a circular to Boustead shareholders released on Monday.

The listing will consist of 580 million new shares and 76 million secondary shares. Institutions will be offered up to 163.57 million shares, of which 125.2 million will be reserved for indigenous "Bumiputra" investors, according to the filing.

Bumiputra are ethnic Malays and other indigenous people in Malaysia who receive preferential treatment in business, housing and education under a decades-old government policy.

Affin Investment Bank is the adviser of the deal.

($1 = 3.3085 Malaysian Ringgit)

(Reporting By Yantoultra Ngui; editing by Keiron Henderson)

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