PETALING JAYA: Sime Darby Plantation Bhd (SDP), the world’s largest palm oil producer by acreage, has proposed to change its name to SD Guthrie Bhd.
In a statement, the group said it will seek shareholders’ approval for the new name at an EGM.
SDP chairman Tan Sri Nik Norzrul Thani Nik Hassan Thani said the notice of the EGM will be issued in due course.
“This is a significant milestone in our 200-year history and comes at a pivotal time for us as an organisation.
“We have established clear leadership in our industry on many fronts and have grown our downstream business into a significant revenue contributor.”
As a landowner, Nik Norzrul said the group is cognisant of the many opportunities to create value for its shareholders.
“The decision to rebrand was made after several months of discussions with experts in the fields of law, intellectual property and brand identity.
“All necessary legal and regulatory approvals for the rebranding will be obtained.”
Group managing director Datuk Mohamad Helmy Othman Basha, meanwhile, said it is the prerogative of any large company with ambitions for sustainable growth to own and control its brand and identity.
“With this change to SD Guthrie, we will be able to assert full control over our identity and explore opportunities that will best serve the interests of our shareholders.
“The Sime Darby brand is owned and controlled by Sime Darby Bhd , the former parent company of SDP. Since the demerger and listing of SDP 6½ years ago, it has operated under a licence, subject to the terms of a brand and trademark licensing agreement, paying an annual fee for the use of the Sime Darby brand.”
He added that this situation imposed significant constraints on SDP’s ability to make its own strategic decisions for the brand and business.
“In proposing SD Guthrie as the new brand, the company aims to present itself as a fully integrated player in the industry, with interests and potential beyond upstream plantations.”