Central Sugars News Today : Breaking News, Live Updates & Top Stories | Vimarsana

SUGAR refiner MSM Malaysia Holdings Bhd has not performed well over the past few years owing to myriad issues that have adversely impacted its bottom line. A 51%-controlled company of plantation outfit FGV Holdings Bhd, MSM enjoys a commanding 60% market share of the local sugar refining business. But although it is the dominant player in a duopoly, the company has suffered losses in three out of the past five financial years, prompting questions on what ails it and when investors can expect sweeter returns.

IN mid-October, when Tan Sri Syed Mokhtar Albukhary’s Perspective Lane (M) Sdn Bhd (PLSB) expressed interest in FGV Holdings Bhd, via an injection of plantation assets in exchange for shares, the valuation of FGV was at RM1.50 per share, say sources. The plan was for PLSB to inject Tradewinds Plantation Bhd into FGV in return for a controlling block of shares in the company, but some sources — who were privy to the details of the proposed deal — questioned the valuation of Tradewinds. “It [Tradewinds’ valuation] was high, but I’m not sure how the talks went. I know FGV [officials]...