Posco International, the leading trading and energy division of Posco Group, announced Thursday the successful integration of Indonesian palm oil producer Sampoerna Agro. This strategic move culminates in the launch of a new corporate identity under the name PT Prime Agri Resources, or PT.PAR, solidifying Posco International’s presence in the global palm oil market.
To commemorate this significant milestone, Posco International hosted an official ceremony at the Raffles Hotel in Jakarta, Indonesia, on Wednesday. The event marked the completion of the post-merger integration process and the formal unveiling of PT.PAR’s new corporate identity. PT. PAR had previously finalized its legal name change in January, following all necessary regulatory procedures in Indonesia.
The high-profile ceremony was attended by key industry figures and dignitaries, including Posco International CEO Lee Kye-in, South Korean Ambassador to Indonesia Yoon Soon-gu, and Indonesian Palm Oil Association Chairman Eddy Martono, alongside other distinguished officials.
Posco International’s acquisition of Sampoerna Agro, completed in November for approximately 1.3 trillion won ($855 million), was a pivotal step in expanding its palm oil business. This acquisition secured an impressive 128,000 hectares of prime palm plantations across Indonesia’s crucial Sumatra and Kalimantan islands. Furthermore, the deal brought one of Indonesia’s foremost palm seed production subsidiaries and its extensive research and development capabilities under Posco International’s umbrella.
With this integration, Posco International now manages a comprehensive portfolio of three palm-related entities. These include the newly branded PT.PAR, PT.BIA — which oversees 26,000 hectares of plantation in Papua — and PT.ARC, a strategic palm oil refining joint venture with GS Caltex boasting an annual refining capacity of 500,000 tons.
This expanded network elevates Posco’s total palm plantation area to 154,000 hectares, a scale roughly equivalent to 2.5 times the size of Seoul, underscoring its significant footprint in the Indonesian palm oil sector.
Posco International is strategically leveraging its newly integrated business structure to accelerate its growth and establish itself as a leading global platform for food and bio-materials. The company projects a substantial increase in its palm business operating profit, expecting it to more than double this year, driven by expanded production capacity and advanced seed technology capabilities.
The newly unveiled PT.PAR corporate identity thoughtfully incorporates a palm tree-inspired symbol and interconnected curves. This design signifies the continuity of the company’s comprehensive business operations, spanning from cutting-edge seed development and efficient plantation management to sustainable palm oil production, reflecting its unwavering commitment to sustainable growth practices, as explained by the company.
“The launch of PT.PAR and its new corporate identity represents a pivotal milestone in our strategy to significantly expand our production base and reinforce our seed business capabilities,” a company official stated. “We are committed to continually enhancing the competitiveness of our palm business and further solidifying our position as a premier global food and materials platform.”
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