KUALA LUMPUR – MMC Port Holdings has engaged CIMB and Maybank to facilitate an initial public offering (IPO) valued at over RM6 billion (US$1.34 billion) in Malaysia, according to two sources familiar with the matter.
Reuters reported that RHB and UBS have also been appointed to work on the IPO, according to a third and fourth source.
The IPO, set to be Malaysia’s largest in more than a decade, could be launched as early as the second half of this year or in 2026 and is expected to value MMC Port at over RM25 billion, the sources stated.
Additional banks may also be brought on board, the first source added. All four sources spoke on condition of anonymity due to the private nature of the discussions.
MMC has not responded to requests for comment from Reuters.
CIMB stated it does not “disclose or comment on specific names or clients.” Maybank and RHB said they were unable to comment, while UBS declined to provide a statement, according to Reuters.
Should the IPO proceed, it would be the largest since IHH Healthcare Bhd’s US$2.1 billion (RM9.45 bil) listing in 2012.
The listing would contribute to Malaysia’s expanding IPO pipeline, following a strong performance in 2024 when the country led Southeast Asia’s IPO market. According to LSEG data, the total value of Malaysian IPOs surged to US$1.64 billion (RM7.34 billion) in 2024, up from US$724.3 million (RM3.24bil) the previous year.
MMC Ports, Malaysia’s largest port operator, is a wholly owned subsidiary of MMC Corp, a utilities and infrastructure conglomerate controlled by Malaysian tycoon Syed Mokhtar Al-Bukhary, according to the company’s website.
It operates five ports along Peninsular Malaysia, all located along the Straits of Malacca, one of the world’s busiest shipping routes. Additionally, MMC Ports’ operations include a solid product jetty terminal in Johor, ship-to-ship transfer services at Yan Port in Kedah, and cruise terminals in Penang, Port Klang, and Langkawi.
In October, MMC Port Holdings Sdn Bhd confirmed it was considering an IPO on Bursa Malaysia, potentially raising up to RM7 billion, making it the country’s largest listing in more than a decade, sources said.
The company is collaborating with financial advisers on the IPO, which could take place as early as the second half of 2025, the sources added. The port operator’s valuation is estimated to be between RM24 billion and RM27 billion.
Deliberations are still ongoing, and details such as the IPO’s size, valuation, and timing remain subject to change, the sources cautioned. MMC Port has yet to respond to requests for comment.
Part of the MMC Group, the company manages seven ports along the Straits of Malacca and operates three cruise terminals, making it the largest port operator in Malaysia.
Meanwhile, MMC Port Holdings Sdn Bhd appointed Datuk Azman Shah Mohd Yusof as its new chief executive officer, effective December 1, 2024.
Azman, 55, previously served as CEO of Northport (Malaysia) Bhd since 2016 and holds several key positions, including chairman of Port Klang Cruise Terminal Sdn Bhd, director of Klang Port Management Sdn Bhd, and director of Northport Distripark Sdn Bhd.
With over 30 years of experience in corporate finance, corporate strategy, business development, and port management, Azman’s appointment marks a strategic shift for MMC Ports.
MMC Ports remains a key player in Malaysia’s maritime sector, overseeing five ports across Peninsular Malaysia: Port of Tanjung Pelepas and Johor Port in Johor, Northport in Selangor, Penang Port in Penang, and Tanjung Bruas Port in Melaka.
The company also manages a solid product jetty terminal in Johor, ship-to-ship transfer services at Yan Port in Kedah, and cruise terminals in Penang, Port Klang, and Langkawi. – February 3, 2025