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REG - Anglo-Eastern Plant. - Proposed Acquisition of PT Jaya Jadi Utama

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RNS Number : 1262D  Anglo-Eastern Plantations PLC  14 October 2025

14 October 2025

 

Anglo-Eastern Plantations Plc

("AEP", "Group" or the "Company")

 

Proposed Acquisition of PT Jaya Jadi Utama via Admiral Potential Sdn Bhd

 

Anglo-Eastern Plantations Plc, which owns, operates and develops plantations
in Indonesia and Malaysia, is pleased to announce that it has entered into a
conditional subscription agreement to acquire Admiral Potential Sdn Bhd
("Admiral Potential"), which on completion will own 100% of PT Jaya Jadi Utama
("PT JJU"), an Indonesian plantation company (the "Acquisition"). The Group is
acquiring Admiral Potential from CB Industrial Product Holding Berhad
("CBIP"), a publicly listed Malaysian company.

PT JJU holds 13,645 hectares of ILOK (Location Permit), of which 7,169
hectares of HGU (Right to Cultivate) has been granted in Central Kalimantan.
Of this area, approximately 1,153 hectares are planted but require
rehabilitation, and there is potential to extend the plantable area, subject
to the outcome of due diligence and assessment.

 

The consideration for the Acquisition is Rp150 billion (approximately USD 9.0
million) and will be funded from existing cash resources. The Acquisition is
subject to conditions precedent, including the satisfactory completion of due
diligence, confirmation of the validity of PT JJU's licences and approvals,
and the absence of any material adverse change prior to completion.

 

Strategic rationale

The proposed acquisition is expected to deliver a number of strategic benefits
to the Group:

·      Proximity to existing operations - PT JJU's concession borders
the Group's estate under PT Kahayan Agro Plantation ("KAP"), offering
opportunities for operational efficiencies in management, logistics and supply
chain coordination.

·      Strengthening FFB supply for the KAP mill - The existing planted
area, together with future plantings at PT JJU, will provide a valuable source
of fresh fruit bunches ("FFB") for the new KAP mill, supporting higher
utilisation and improved efficiency as volumes increase.

·      Future growth potential - The acquisition provides room for
further expansion at a time when the KAP estate, comprising approximately
8,000 hectares (including plasma), is fully planted. Development of the PT JJU
concession is expected to enhance the Group's long-term production capacity.

Following the Acquisition, the Group will continue to have a strong balance
sheet, with net cash reserves of approximately USD230 million, enabling the
Group to continue to pursue further growth opportunities.

 

AEP Chairman, Jonathan Law, commented:

"The acquisition of PT JJU represents another step forward in our growth
strategy. Its location, being directly adjacent to the KAP estate will
generate synergies in management, logistics and supplies which will provide
additional FFB supply for the new KAP mill. This acquisition further
strengthens the Group's long-term production profile and supports our
commitment to delivering value for shareholders."

 

For further enquiry, contact:

 Anglo-Eastern Plantations Plc                                     +44 (0) 20 7216 4621
 Marcus Chan Jau Chwen, Executive Director (Corporate Affairs)
 Kevin Wong Tack Wee, Group Chief Executive Officer

 Cavendish Capital Markets Limited - Financial Adviser and Broker  +44 (0) 20 7220 0500
 Matt Goode, George Lawson, Trisyia Jamaludin (Corporate Finance)
 Tim Redfern, Harriet Ward (Corporate Broking)

 

 

 

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