Prime Minister Najib Abdul Razak says news reports that the government is planning to sell up to 10 percent of Sime Darby Bhd's equity to China is "pure speculation" at the moment.

"Sime Darby is a public-listed company, (so) we don't make statements in advance on the basis of speculation. We don't pre-empt any decision," he said.

"Once the decision has been made, we will announce it," he said when asked to comment on news reports that Malaysia had offered China a stake in the conglomerate Sime Darby after the Umno Supreme Council meeting here today.

The report said this was part of the government's move to sell down its stake in government-linked companies (GLCs).

Sime Darby is one of the world's largest palm oil companies whose majority shareholders include Permodalan Nasional Bhd and the Employees Provident Fund (EPF).

- Bernama