KEDAHCORP BUYS 70 PCT STAKE IN MAS INC (PNG)

Kedah Corporation Berhad (KedahCorp), a wholly-owned subsidiary of the state government has become the first government-linked company (GLC) in Kedah to venture into overseas investment by acquiring 70 per cent stake in MAS Incorporated (PNG) Ltd (MAS).The agreement for the acquisition was signed by KedahCorp Group managing director Capt (Rtd) Akashah Ismail and MAS Incorporated (PNG) Ltd executive chairman Datuk Abdul Manaf Hamid who is also the company’s owner.

Menteri Besar Datuk Seri Azizan Abdul Razak witnessed the signing at his office in Wisma Darul Aman, the state administrative centre.Headquartered in Papua New Guinea, MAS Incorporated (PNG), set up 15 years ago, is a wholly-owned Bumiputera company engaged in a diverse field covering logging, fisheries, plantation, mining and livestock.Azizan, who declined to disclose the purchase price, said an agreement was reached after three months of negotiations.He said KedahCorp had earlier studied the situation in Papua New Guinea and was convinced with the cooperation extended by the authorities in the Pacific nation before deciding to buy into MAS Incorporated (PNG).“The government is confident the investment is profitable and hopes the acquisition will pave the way for more Kedah GLCs to expand their investments abroad,” he told reporters after the signing.

Azizan said KedahCorp would also sign memoranda of understanding to enter into joint ventures with several Australian companies and livestock farms to supply cattle and sheep and meat.Abdul Manaf said the agriculture industry, particularly fisheries and plantation sectors in Papua New Guinea, had potential to be developed as the government was wooing foreign investments.He said MAS Incorporated (PNG) has been given the logging rights for 200,000 hectares and redevelop the logged area with oil palm, cocoa or other crops suitable to the soil condition.The company had also signed agreements with landowners in a district in Papua New Guinea to develop their land into agriculture farms including 30,000 hectares for paddy planting, he said.

He said his company was also in the midst of developing the fisheries industry to catch tuna fish in the sea off Bunua Magarida.The company will also venture into gold mining in a 15,000 hectare site at the Baina mining area in central Papua New Guinea, he added.