Joint Venture Agreement, and Shares Sale and Purchase Agreement with Godrej Agrovet Limited and Godrej Gokarna Oil Palm Limited, India

Further to the announcement on 22 January 2008, the Company has on 25 February 2008 entered into a Joint Venture Agreement (“JVA”) with Godrej Agrovet Limited, India (“GAL”) and Godrej Gokarna Oil Palm Limited, India (“GGOPL”) to carry out the business of purchasing oil palm fresh fruit bunches and milling in Goa and Karnataka, India. (“the Business”)

IJM Plantations (Mauritius) Limited (“IJMPM”) has also on 25 February 2008 entered into a Shares Sale and Purchase Agreement (“SSPA”) with GAL and GGOPL to acquire 69,258 shares representing 51% of the shares in GGOPL (“the Shares”) from GAL at a cash consideration of Rs.11.2 Crores (approximately RM9.37 million).

GGOPL had on 28 September 2007 acquired the oil palm business from GAL with a purchase consideration of Rs11.9 Crores (approximately RM9.94 million) pursuant to a scheme of arrangement approved by the High Court of Mumbai.

GGOPL, incorporated in India on 15 November 2006, is presently a wholly-owned subsidiary of GAL. Upon completion of the acquisition of the Share, GGOPL will be a 51:49 joint venture between IJMPM and GAL. IJMPM is a wholly-owned subsidiary of IJMP Investments (M) Limited, which in turn is a wholly-owned subsidiary of the Company.

None of the Directors or major shareholders of the Company, or persons connected with them, has any interest, direct or indirect, in the abovementioned transactions, and no approval of shareholders is required. The abovementioned transactions are not expected to have any significant effect on the earnings or net assets per share of the Company for the financial year ending 31 March 2008.

Announcement