Yihai Kerry Arawana Holdings Co (Yihai Kerry)

Wilmar kept at 'buy' by UOB as China ops takes a step closer to listing

SINGAPORE (June 20): UOB KayHian is maintaining Wilmar International at “buy” after its China operations took another step closer to a spinoff and A-share listing in the fourth quarter.

RHB says Wilmar’s current China operations contribute about 60% of group PAT. The IPO proceeds would be used for the expansion of wheat flour, rice milling and soybean crushing capacities in China.

“The IPO would likely make Wilmar one of the largest listed vegetable oil and food ingredient producers by market capitalisation,” says lead analyst Leow Huey Chuen in a Thursday report.

Be informed of the stories that matter