Plantations International Malaysia Receives USD 440,114,454 Revenue Valuation

The announcement

United Tropical Fruit Sdn. Bhd., a Malaysian subsidiary of the Plantations International Group, received a projected revenue valuation of USD 440,114,454 for its Organic Musang King Durian Plantation from a leading international accounting and auditing firm.

The plantation has 4,500 trees on a 100-acre site in Pahang, Malaysia, held on a 60-year leasehold.

Gareth Cookson, Director of Operations for Plantations International in ASEAN, says the company is the only player in the market to have invested the time, money, research and development needed for a truly organic Musang King. He states that it will breed 100% organic seed nuts, so the organic chain of custody begins before the sapling is planted.

Valuation report figures

• Total projected free cash flow (FCFF): USD 293,530,527.
• Net present value (NPV) range as at 1 November 2021: USD 40.63 million to USD 46.46 million.
• Internal rate of return (IRR): 30.05%.

Plantations International Securities

The Luxembourg subsidiary, Plantations International Securities s.a.r.l., launched a fully securitised 12-year Organic Musang King Durian bond.

The bond is backed by plantation revenue and sold exclusively through the Sustainable Agroforestry Securitized Fund Platform, which reported pre-launch interest of nearly 60%.

• Coupon rate: 4.78% to 12.88%.
• Face value: USD 12,500,000.
• Term: 12 years.

Plantations International contact

Reshat Sicim, Business Development Director, Organic Musang King Durian Division, Plantations International Malaysia Sdn. Bhd., No. 20, Jalan Perak KLCC, Kuala Lumpur 50450. Phone: +601 6258 0095.

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