Sunway Group has secured overwhelming shareholder backing for its proposed 11 billion ringgit (about $2.76 billion) takeover of construction and infrastructure firm IJM Corporation, marking a major milestone in one of Malaysia’s most watched corporate deals this year.
At an extraordinary general meeting on Thursday, nearly 99.97 percent of Sunway shareholders voted in favour of the acquisition proposal, reflecting broad support for the plan to combine the two companies under a unified group. Sunway’s chairman, Jeffrey Cheah, said the positive vote clears a key hurdle and positions the enlarged group to pursue expanded opportunities in construction, property and related sectors.
Under the terms of the offer launched in January, IJM shareholders will be offered RM3.15 for each share, consisting of 10 percent cash and 90 percent in newly issued Sunway shares. The deal, which values IJM at around RM11 billion, aims to create a stronger entity with a broader asset base and greater scale in Malaysia’s competitive infrastructure market.
The takeover bid had faced mixed reactions. IJM’s independent adviser previously urged shareholders to reject the offer on valuation grounds, saying it represented a discount to what it considered fair value, and Malaysia’s largest asset manager Permodalan Nasional Bhd declined to tender its stake.
Sunway has said it will not revise its offer, describing it as its best proposal, and has indicated it may walk away if the necessary conditions are not met. The company expects to complete the acquisition in the third quarter of 2026, subject to regulatory approvals and acceptance thresholds.
The move underscores a broader trend of consolidation within Malaysia’s construction and property sectors, as firms seek scale and efficiency to compete both domestically and regionally. Analysts say the deal could unlock cost synergies and add depth to the combined group’s portfolio while positioning it to bid for larger infrastructure projects in Southeast Asia.
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