The scheme, launched on Aug 20 last year, enables investors to share profit from an oil palm plantation in Gua Musang, Kelantan.
GPGB holds a 90-year concesssion to develop, manage and maintain a 4,512-hectare plantation.
The land is owned by an agency of the Kelantan state government.
Executive chairman of Golden Palm Growers Bhd, Andrew Phang,said the planting of oil palm trees started last year and the first harvest was expected by 2014.
The scheme involves a minimum investment of RM8,000 for a quarter acre plot; investors are guaranteed six per cent return per annum fully backed by cash deposit with a licensed trustee.
"If crude palm oil prices exceed RM1,500 per metric tonne investors will be guaranteed a minimum return of nine per cent per annum in the next 17 years," Phang said.
To date, according to Phang, over 8,000 grower plots had been sold.
"Oil palm has a long history and a bright sustainable future, especially as biofuels are seen as an important energy source in time to come replacing fossil fuels," he said.
Read more: Golden Palm Growers declares payout http://www.btimes.com.my/Current_News/BTIMES/articles/20110818184523/Article/index_html#ixzz1VNb205Uq
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Palm scheme to pay first dividend
KUALA LUMPUR: A year after its launch, Golden Palm Growers’ Scheme will pay investors its first guaranteed dividend payout of 6% with an additional 2% discretionary bonus dividend by the end of this month.
A first of its kind, the scheme guarantees a net yield of 6% for the first six years or a minimum return of 9% per annum if crude palm oil price exceeds RM1,500 per tonne in the 23-year period of investment.
After the first six development years, the scheme will move into full profit-sharing when profits from the total plantation will be distributed to investors according to the number of plots they invested in.
“This encouraging results strengthen our belief that making oil palm investment accessible to everyone is the right move,” Golden Palm Growers Bhd (GPGB) executive chairman Andrew Phang said at a briefing yesterday.
GPGB, the company providing the scheme, also announced a 30% increase in asset valuation in the past 10 months, making the plantation worth RM71.5mil as at June compared with RM55mil in August last year when the scheme was introduced.
The company holds a 90-year concession to develop, manage and maintain the oil palm plantation on 11,280 acres owned by an agency under the Kelantan government.
The plantation is expected to make its first harvest at the end of 2013.
“Of the total acreage, 19,600 plots were initially made available for sale to local investors or ‘growers’,” Phang said, adding that GPGB had allocated 4,000 acres more for the scheme on top of its initial 7,000 acres.
The company said 60% of the 11,000-acre plantation in Gua Musang, Kelantan, was under development now and about 8,000 plots had been taken up.
The size of each plot is a quarter of an acre.
Source: BizStar
