Wilmar

Wilmar: Fortune Oil has conditionally agreed to inject its natural gas business into China Gas (384 HK) for a total consideration of US$400m. Wilmar, the 15% shareholder of Fortune’s natural gas business will also be transferring all of its stake to China Gas on substantially the same terms. Newswires note Wilmar will be paid US$30m cash, and a further US$30m as deferred consideration, with an option to be paid in the form of a max of 37.5m China Gas shares. While positive that Wilmar is able to monetize a non-core asset, the transaction is small at just 0.3% of its mkt cap.