Olam International reported a loss of S$87mn ($65.4mn) after taxes in 2H2020 while operating profits after taxes were up 90% to S$475.7mn ($357mn). The losses in the year were reported on account of a ‘prudent one-off impairment’ from Olam Palm Gabon amounting to S$483.9mn ($363.5mn). The board recommended a final dividend of 4 cents per share and total dividend for 2020 at 7.5 cents per share. As part of its business reorganization plans, Olam said they plan to list Olam Food Ingredients (OFI) by the first half of 2022. Olam is considering London for an IPO of OFI and they could also consider a secondary listing in Singapore, as per Bloomberg Olam Group has been re-organised into two new operating groups, OFI and Olam Global Agri (OGA), with Olam International Ltd. (OIL) as a parent holding the two groups. OFI consists of the company’s cocoa, coffee, edible nuts, spices and dairy businesses while OGA is a food, feed and fibre agri-business. Olam said it plans to complete the carve-out and separation of OFI and OGA by the end of this year and that It has made “good progress”. Group CEO Sunny Varghese said, “We delivered this strong set of results while achieving significant progress in our transformative Reorganisation Plan and we are excited about the sustained value creation potential arising from this re-organisation.” Olam’s SGD 5.5% Perps were flat at 101.35, yielding 5.08%.
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