THE EAST West One Group (EWOG), Malaysia’s largest and most successful planter’s scheme operator in terms land bank size, has obtained planters’ approval for all its proposals at its planters’ meetings held yesterday (Aug 12).
Notably, overwhelming support was received for its proposed rehabilitation and restructuring exercise across all three of its schemes, namely (i) East West One Planter’s Scheme; (ii) East West Horizon Planter’s Scheme; and (iii) East West Planter’s Scheme 1.
All special resolutions were also passed. The results from the voting exercise are as follows:
- East West One Planter’s Scheme: 83.14% voted FOR vs 16.86% voted AGAINST
- East West Horizon Planter’s Scheme: 84.24% voted FOR vs 15.76% voted AGAINST
- East West Planter’s Scheme 1: 78.36% voted FOR vs 21.64% voted AGAINST
“The resolutions passed at these meetings give the management company the mandate to commence the rehabilitation and restructuring exercise (R&R) for the plantations under EWOPS (East West One Planter’s Scheme),” EWOG pointed out in a media statement.
“The exercise is slated for a term of two years during which the primary focus will be on rehabilitating the plantations to improve their yield and overall value.”
For the record, the past few years have seen significant challenges that have severely impacted plantation operations, including the global COVID-19 pandemic, La Niña weather phenomena, industry-wide labour shortages, land disputes with landowners and repeated injunctions that prevented timely convening of planters’ meetings from addressing these issues.
“These cumulative challenges have compounded the cash flow problems faced by the management company, resulting in an inability to meet payment obligations,” contended EWOG.
“To address these issues, the EWOP Scheme has engaged Palmiss Sdn Bhd, a renowned oil palm plantation consultancy since January 2023 to provide strategic direction and managing our plantations to unlock their full yield potential.”
With the resolution now passed, EWOG said the management company will redirect its resources towards the rehabilitation process which is expected to take two years.
“We are deeply grateful for the support shown by our investors during these challenging times. The successful passing of the resolutions is a significant step towards stabilising and revitalising our plantations,” asserted the planter’s scheme operator.
“We are committed to working diligently over the next two years to rehabilitate our assets and secure the best possible outcomes for all stakeholders.” – Aug 13, 2024
