A palm oil producer with plantations across Indonesia has completed the takeover 8,240 hectares in a deal initially worth $40 million (£29.9m).

MP Evans, based in Tunbridge Wells, confirmed its acquisition of Sunrich Plantations this morning, having first announced the proposal in August.

The deal adds further oil-palm plantation in Indonesia.

Sungkai Holdings Limited, a subsidiary of MP Evans, has completed the acquisition of Sunrich.

Sunrich owns 95% of Indonesian company PT Bumi Mas Agro (BMA), which owns the oil-palm plantation in Indonesia

The initial payment will be followed by a later payment of $49.2 million (£36.7m) dependent on the receiving regulatory approvals.

This is expected to be paid in the near term.

MP Evans chairman Peter Hadsley-Chaplin said: ''The completion of the BMA acquisition is another noteworthy step in the group's expansion of plantation hectarage under its control.

"MP Evans will bring its operating expertise to bear on BMA, whose young palms can be expected to produce strong crop growth in the coming years.

"Crop growth underpins the group's intention to produce increasing volumes of crude palm oil and palm kernels at attractive margins."