KUALA KUBU BARU – The Federal Land Development Authority (Felda) now owns a 77% stake in FGV Holdings Bhd, Minister in the Prime Minister’s Department (Economy) Datuk Seri Mustapa Mohamed said.
He said, following this, Felda needs only another 13% equity interest in the plantation group to delist the company from Bursa Malaysia.
He added that the majority shareholding in FGV is in line with the government’s aspiration to help Felda revive and strengthen its financial position, which will also benefit settlers.
“One of the ways towards the recovery process is to restructure loans by issuing sukuk guaranteed by the government amounting to RM9.9 billion.
“The objective of the sukuk (issuance) is to reduce Felda’s debt burden... Hence, when this debt burden is reduced, it will strengthen Felda’s financial standing, and settlers can also reap the benefit.”
Mustapa said the list of debts of all settlers is expected to be announced in May, after the completion of an audit process by an accounting firm.
“This matter has been keenly awaited by the Felda settlers and, definitely, when it is announced (later), will reduce their burden.”
He said Felda is in the midst of undertaking a transformation process in the aspects of administration, efficiency, finance and management to restore its position. – Bernama, March 10, 2021
