PETALING JAYA: Malaysia’s pilgrimage fund is considering taking its agricultural firm TH Plantations Bhd private, people with knowledge of the matter said, amid a rally in palm oil prices.

       Lembaga Tabung Haji (LTH) has asked banks for proposals on the potential deal for the owner of palm oil and rubber plantations, one of the people said, asking not to be identified as the information is not public.

       Shares in TH Plantations have risen 4% in the year-to-date, giving it a market value of about RM526mil. LTH owns 73.8% of the company.

       Discussions are in the early stages and LTH could decide not to proceed with the plan, the people said. LTH and TH Plantations did not respond to requests for comment.

       The potential privatisation of the Kuala Lumpur-headquartered firm comes after palm oil prices reached an all-time high in May, triggering a flurry of deal activity among Malaysian planters. Palm prices are expected to remain high due to lower production of palm oil and other oils. ― Bloomberg