In proposing “SD Guthrie” as the new brand name, the plantation group seeks to present itself as a fully integrated player in the industry, with interests beyond upstream plantations, it said in a statement today.
It said the new brand is very much part of the company’s history, paying homage to its recent past as part of the Sime Darby group, as well as its origins with Guthrie.
“The original Guthrie story was one of ambition, enterprise, and resilience, of both its early founders and its subsequent Malaysian leaders, attributes which continue to resonate in the company today,” the group said.
SD Plantation started out as Guthrie & Co, a trading house in Singapore in 1821. Over the years, through multiple corporate exercises, it grew into one of the largest plantation companies in the world, and became part of the Sime Darby group.
The decision to rebrand was made after several months of discussions with “experts in the fields of law, intellectual property and brand identity”.
It said all necessary legal and regulatory approvals will be obtained including shareholders’ approval at an upcoming extraordinary general meeting (EGM).
The “Sime Darby” brand is owned and controlled by Sime Darby Bhd, its former parent company. Permodalan Nasional Bhd (PNB) is now SD Plantation’s controlling shareholder with a 55.1% stake followed by EPF with 15.2%.
Since the demerger from Sime Darby and its listing six-and-a-half years ago, SD Plantation has operated under a licence, paying an annual fee to use the “Sime Darby” brand. This arrangement was subject to the terms of a brand and trademark licensing agreement.
It said this situation imposes “significant constraints” on SD Plantation’s ability to make its own strategic decisions for the brand and business.
“We believe 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,” said group managing director Helmy Othman Basha.
Chairman Nik Norzrul Thani said the move represents a “significant milestone in our 200-year history and comes at a pivotal time for us as an organisation”.
SD Plantation is one of the world’s leading producers of certified sustainable palm oil, representing approximately 12% of global market share.
It operates 234 plantation estates in Malaysia, Indonesia, Papua New Guinea, and the Solomon Islands, and has more than 84,000 employees.
At 2.40pm, its shares were down 1 sen or 0.22% at RM4.49, valuing the group at RM30.9 billion.