Malaysia IOI raises $600mln as palmoil boom roars on
KUALA LUMPUR, Jan 9 (Reuters) - Malaysia's IOI Corp, the world's second-biggest palmoil firm, on Wednesday said it raised $600 million from a convertible bond, taking advantage of a global commodity boom and giving it a warchest for acquisitions.
IOI (IOIB.KL) has since September 2004 raised about $1.8 billion selling dollar-denominated bonds, in a period when the price of Malaysian crude palm oil KPOc3 has more than doubled and the world looks to the edible oil as an alternative energy source.
IOI in November said it plans to acquire privately held firms and boost investments in the United States and Indonesia.
IOI wants to set up another plant in the United States to help satisfy demand for vegetable oils, as demand from both the food and fuel sectors surges.
In August, IOI used part of its cash, agreeing a $130 million oil palm joint venture with Indonesia's Harita Group that would give it an extra 250,000 hectares in Indonesia.
IOI is also said to be keen on Asiatic Development ASIA.KL, a smaller rival planter controlled by Malaysian casino firm Genting Bhd (GENT.KL), itself keen to sell assets not seen as strategic to its core business of gaming.
High-profile commodities bull investor Jim Rogers has said the resources boom that saw oil hit the $100 barrier this year and propelled gold to a record has a decade or more of gains ahead. (Reporting by Hsu Chuang Khoo; Editing by Ben Tan)
