MALAYSIA - FELDA Global Ventures Holdings Bhd (FGVH) will proceed with its initial public offering (IPO) without Koperasi Permodalan Felda (KPF) even though the settlers' cooperative has recently approved its participation in the exercise.
Federal Land Development Authority (Felda) chairman Tan Sri Mohamed Isa Abdul Samad said KPF could not come on board for now because of the delay in getting approval at its extraordinary general meeting (EGM) due to the court injunction filed by eight settlers in February.
"Of course, we want KPF to be a shareholder of FGVH but because of the High Court injunction, we just don't have time (to include it)."
Isa said to include KPF now would mean having to hold discussions on the terms and conditions with the cooperative which could prolong until next year.
"This will take too long and we may miss the targeted listing date of either end of next month or June, as well as to capitalise on the current high price of crude palm oil," Isa said at the Felda headquarters yesterday.
He, however, said KPF would ultimately become a shareholder of FGVH after the listing under a separate alternative plan which included the buying of shares.
KPF, a 220,000-member strong investment cooperative, was initially slated to participate in the listing and was earmarked to own a 37 per cent stake in FGVH through an injection of its assets in the entity.
But the offer was derailed by a court injunction filed by the eight settlers in February which prevented KPF from holding its EGM on time.