Posco builds full palm oil value chain with Indonesia expansion

Indonesian listed company Sampoerna Agro, securing management control and becoming its largest shareholder. Intended to expand its global palm business value chain, the investment for this acquisition is estimated at approximately KRW 1.3 trillion, based on the exchange rate at the time of disclosure. Through this acquisition, POSCO INTERNATIONAL has added 128,000 hectares of plantations, which is more than double the size of Seoul, and now possesses a total global farming base of 150,000 hectares, including its existing plantations in Papua, Indonesia. As a leading Indonesia-listed company, Sampoerna Agro operates palm plantations across Sumatra and Kalimantan islands, owning a palm seed subsidiary and research institute that rank second in domestic market share in Indonesia. What is noticeable about the newly acquired plantations is that stable profits can be generated from the very beginning of the acquisition since the palm trees have already reached maturity. The palm ...