Wilmar International, the world’s largest palm oil trader, agreed to buy a majority stake in a Malaysian producer of oleo-chemicals used in soaps for 450 million ringgit ($192 million).

Wilmar will buy 91.38% of Natural Oleochemicals Sdn from Kulim (Malaysia) Bhd., Wilmar said in a statement to the Singapore Stock Exchange today. Funding for the acquisition will be from internal resources and bank borrowings, it said.

Malaysia, the second-largest producer of palm oil, also represented 25% of the global production capacity of fatty acids last year. Purchasing Natural Oleochemicals would give Wilmar control over a company that accounted for 20% of Malaysia’s fatty acids production capacity. Fatty acids are derived from palm oil.

Wilmar wants to diversify earnings after posting a record 2009 net income. Earlier this month, it outbid China’s Bright Food Group Co.’s offer for Australia’s biggest sugar refiner CSR Ltd.’s unit for A$1.75 billion ($2.12 billion).

The balance 8.62% of Natural Oleochemicals is held by National Land Finance Co-operative Society, the statement said. DMG & Partner Securities Pte. advised Wilmar on the transaction.