Kuala Lumpur, September 3, 2025 — Hextar Global Bhd, a prominent agrochemical and fertiliser group, has announced that its indirect subsidiary, PHG Ever Fresh Plantation Sdn Bhd, will divest three contiguous durian plantation parcels in Raub, Pahang, for RM13.75 million. The sale responds to the plantations’ persistently low yields, rendering them commercially unviable in the long term, the company said. By divesting, Hextar Global aims to realise a favourable return while refocusing its resources onto more efficient operations.
PHG secured the 10-hectare-plus plots in September 2020 for RM10.74 million. The land’s net book value stood at RM11.31 million as of July 31, 2025. Although the disposal will generate a nominal RM2.3 million gain over the original purchase price, Hextar Global anticipates a RM1.2 million loss on its books, attributed to revaluation accounting under MFRS 116.
To execute this divestment, PHG has entered into separate sale and purchase agreements with Chateau MSK Sdn Bhd. The transaction is expected to conclude within six months. The proceeds will be allocated strategically: RM6.7 million toward repayment of term loans, RM5.51 million to settle payables and related-party obligations, and RM1.38 million earmarked for dividends.
Moving forward, Hextar Global plans to pivot away from landholding in favor of operating durian collection centres, where multiple vendors can supply fruit for centralized sorting and processing. The company will focus on turning durians into value‑added products such as pulp, paste, and frozen items for export markets—an effort to enhance efficiency and profitability across its durian supply chain.
The announcement did not sway the market. Hextar Global shares finished unchanged at 89.5 sen, equivalent to a market capitalisation of approximately RM3.5 billion.
