Global law firm Eversheds has advised Malaysia's third-largest listed plantation company, Kuala Lumpur Kepong Berhad (KLK) on a $21.3 million cash offer for Equatorial Palm Oil PLC which will enable it to gain a foothold in Liberia’s palm oil sector.

KL Kepong had originally in late October, acquired a 20.1 percent stake in London-listed Equatorial Palm Oil PLC and a 50 percent stake in Liberian Palm Developments Ltd, both from Singaporean palm oil producer and exporter Biopalm Energy Limited and subsequently provided short term finance to EPO. This led to KLK subscribing for further equity in EPO taking its stake above 50%, resulting in KLK making a mandatory offer for the remaining shares in EPO.

The Eversheds team was led in the UK by Partners Robin Johnson and Steve Nash assisted by Associate Ben Von Maur and by Partner Boris Martor from the firm’s Paris office. Director Sze-Hui Goh advised from the firm’s Singapore office.

Robin Johnson commented:

“As palm oil firms turn increasingly to Africa to set up new operations, this is a truly multi-jurisdictional deal involving a South East Asian company making a bid for a UK company with assets in Africa. Working holistically with our offices in Singapore, Paris, UK and a best friend firm in Liberia we were able to ensure a smooth process across all jurisdictions.”

KL Kepong commented:

“The proposed acquisition is in line with KL Kepong's strategy to expand its plantation land bank outside Malaysia and Indonesia for geographical diversification into the West African region, where there is a net deficit of edible oils. As our legal advisers, Eversheds provided a comprehensive and fully international service, allowing a smooth completion of the offer."