Malaysia's armed forces fund LTAT said today it has reached agreement to buy out British Petroleum Plc.'s 70 percent stake in BP Malaysia.

In a statement, LTAT said it would have 100 percent ownership of BP Malaysia once the deal was completed and the necessary regulatory approvals were obtained. It hopes to complete the transaction in the second quarter.

It did not give the price tag for the acquisition.

BP Malaysia owns 240 service stations nationwide, a modern fuel terminal and two joint-venture automated bottling plants for liquefied natural gas while LTAT is involved in plantations, property, manufacturing, trading and financial services.

Profitable growth trend

LTAT chief executive Lodin Wok Kamaruddin said the fund hoped to continue BP Malaysia's profitable growth trend.

Separately, BP Plc said its decision to sell the Malaysian fuels business was consistent with its global strategy of concentrating on markets and segments where it can build a significant presence.

The transaction has no impact on its other activities in Malaysia, BP said, adding it would continue to focus resources on its chemicals, lubricants and solar power businesses which were competitive. - AFP