Sime Darby Plantation Bhd (SDP) and PTTGC International Private Limited (GC Inter) have signed an agreement to divest their collective 100 per cent equity interest in the Asia Pacific business of Emery Oleochemicals (M) and Emery Specialty Chemicals to Edenor Technology for RM38 million.

Emery Oleochemicals, one of the world’s leading natural-based chemical producers, is a 50:50 joint venture between PTT Global Chemical and SDP.

“The divestment is conditional upon the restructuring of Emery Group into separate standalone groups in respect of its Asia Pacific business, and the North America and Europe business,” the plantation company said in a stock exchange filing with Bursa Malaysia. “Post restructuring, Emery Group’s Asia Pacific business will remain under Emery Oleochemicals (EOM) and Emery Specialty Chemicals, while its North America and Europe businesses, both held under Emery Oleochemicals UK Limited, will be transferred out from EOM, to be held directly by SDP and GC Inter on a 50:50 basis.”

Edenor Technology is a 50:50 joint venture company jointly incorporated by Mega First Corporation Bhd (MFCB) and 9M Technologies Sdn Bhd for the purpose of undertaking the proposed acquisition.

MFCB is a Malaysian public listed company under the utility sector with key segments in renewable energy, resources, packaging, investment holding, and others while 9M Technologies is a Malaysian private limited company with business in investment, mergers and acquisitions, and technical advisory services.