Shell defends move to sell entire 51% stake in Malaysian unit to Chinese co significantly below market value

Shell branding is seen at a petrol station in west London, January 29, 2015. REUTERS/Toby Melville

Shell Overseas Holdings Limited (SOHL), which had reached a conditional agreement with Malaysia Hengyuan International Limited (MHIL) for the sale of its 51 per cent shareholding in the Shell Refining Company (SRC) in Malaysia for $66.3 million, has unveiled deal details, and said the sale was in line with its current global strategy.

SOHL had first announced the deal on February 2, but its move to sell its entire 51% stake in a refinery in Port Dickson to a Chinese company, at a value far lower than the market price of the assets, has since led to considerable speculation.

Bring stories like this into your inbox every day.

Sign up for our newsletter - The Daily Brief
Subscribe to Newsletter