Kim Yew: Country Heights Growers Scheme investors to get RM294m
KUALA LUMPUR: Plentiful Gold-Class Bhd founder and chairman Tan Sri Lee Kim Yew has urged investors in the Country Heights Growers scheme to take up the proposed voluntary termination.
He said on Wednesday investors would receive RM294mil compared to the RM215.5mil in funds raised during the 2007 launch.
Lee pointed out the holding company Bee Garden Holdings Sdn Bhd, would pay the shortfall between the final sales price of the land and total buy back amount to the investors.
"I urge all the growers to seriously consider accepting the proposal and the one-to-one buy back, plus the nett yield payout for 2007 to 2011 of RM78.5mil. This would mean that the growers will receive in the end, a total of RM294mil compared to the total one-time funds raised of RM215.5mil when it first launched in 2007," he said.
Lee pointed out that in last year's scheme's fifth nett yield payout explanatory statement, the management had highlighted the challenges affecting the estate.
Country Heights Growers scheme is Malaysia's first oil palm plantation investment scheme combining farm estate and investment that provides the opportunity to the investor to participate in the palm oil industry in Malaysia.
The investment scheme is managed by Plentiful Gold-Class Bhd, a unit of Bee Garden Holdings.
The company had in the last five years paid out 48% of return in total, giving 8% return per annum for the first three years and 12% in the consequent years.
Lee said on Wednesday the board of directors for the company was receptive to put the estate up for sale via open tender in the market immediately after the proposed voluntary termination was passed through, should the investors agree, with a reserve price of RM170mil.
"Based on the financial model, Plentiful will have to pay out another nett yield dividend by Feb 14 this year. The company has no cash to pay out nett yield and is not allowed to make any borrowings or charge the land to raise additional funding," said Lee.