The plantations to property conglomerate said the move would allow each business to take advantage of potential growth opportunities and maximise value for all shareholders.

“The transaction is not expected to result in any major disruption to the Sime Darby Group’s existing operations,” it said in a statement.

“The proposed pure-play strategy will enable each business to focus on their respective core activities and pursue their different and distinct aspirations.”

Sime Darby, the world’s largest palm oil plantation operator by land size, announced in November it could list its plantation business as it looks to monetise assets.

It had earlier looked at listing its motors division, but put its plans on the back burner due to bleak business sentiment in the automotive sector.