WTK Holdings Bhd has secured unanimous shareholder approval to acquire stakes in three companies from related party WTK Realty Sdn Bhd for RM555 million.
The Sarawak-based diversified group said shareholders approved the purchase of 100% equity in Desacorp Sdn Bhd, as well as 70% stakes in Imbok Enterprise Sdn Bhd and WTK Oil Mill Sdn Bhd. The acquisitions are expected to be completed by the second quarter of 2026.
WTK Holdings noted that the move will significantly expand its plantation operations. Upon completion, the group’s total planted oil palm area will rise by 82.6% — from 17,420.59 hectares to 31,809.86 hectares — supported by favourable crop age profiles. The addition of an in-estate mill is also expected to improve supply chain efficiency and operational integration.
WTK chairman Tan Sri Sulong Matjeraie said that following the divestment of the group’s loss-making timber operations, WTK is now focused on growing its plantation division as its core business, with stronger earnings quality and more sustainable long-term prospects.
“Our immediate priority is the smooth execution and integration of the acquired assets into existing operations. This expansion of our upstream oil palm footprint, combined with integrated milling capacity, is expected to enhance production visibility, processing efficiency, and cost optimisation,” he added.
Sulong also highlighted that exiting timber operations removes exposure to related impairments and operating losses, contributing to a more stable earnings profile. He said the acquisitions are expected to be earnings accretive, with their financial results consolidated into WTK, further strengthening the plantation division as the group’s main driver of profitability.
