Wilmar Records $150M Loss on Unity Investment

Wilmar International Ltd. has reported a loss of $150 million in connection with its investment in Unity Foods Ltd., attributing the impairment to emerging financial uncertainties at the associated Pakistani entity, as reported by Bloomberg.

In its full-year financial disclosure, the Singapore-listed agribusiness confirmed that it had recognised a provision relating to losses from an associated company in Pakistan. A company spokesperson subsequently identified the associate as Unity Foods, a publicly listed Pakistani enterprise engaged in the edible oil and rice sectors.

Wilmar stated that in 2025 it became aware of Unity Foods encountering challenges in servicing certain banking facilities. The development was described as unforeseen, particularly in light of Unity’s most recently published financial statements, which had reflected profitability and substantial liquid asset positions.

Unity Foods did not issue a response to media queries.

Wilmar clarified that it acquired its equity stake in Unity in 2020 and has not participated in the company’s day-to-day management. The firm further noted that prior audited financial statements had indicated operational stability.

Subsequent information, however, allegedly revealed material uncertainties and inconsistencies concerning specific financial and working capital components within Unity’s accounts.

Significant changes have occurred within Unity’s senior management in recent months. Founder and long-serving Chief Executive Officer Farrukh Amin stepped down in December, followed by the resignation of the Chief Financial Officer in January. In February, the newly appointed CEO and two independent directors also resigned, resulting in the board lacking the quorum necessary to conduct business, according to stock exchange disclosures.

Wilmar indicated that its requests for clarification from Unity did not produce complete or reconcilable information. The company has therefore approached Pakistani regulatory authorities to seek guidance regarding the potential appointment of an administrator and the initiation of an independent review. It has also requested regulatory advice on whether trading in Unity’s shares should be suspended pending further examination.

This impairment compounds Wilmar’s broader regional challenges. In its earnings statement, the company disclosed a separate $104 million loss arising from ongoing litigation involving a Chinese subsidiary and reported provisions exceeding $782 million for compensation claims linked to operations in Indonesia, while denying any wrongdoing in those matters.

Meanwhile, Unity Foods’ share price has declined by more than 50 percent during the current year and was trading at its lowest level since 2020 at the start of the week.