KUALA LUMPUR — Sunway Bhd has made a conditional voluntary takeover offer to acquire IJM Corp Bhd at RM3.15 per share, a move that could significantly alter Malaysia’s construction and engineering sector.
According to a filing with Bursa Malaysia, Sunway announced that Maybank Investment Bank Bhd had notified IJM’s board of directors about the proposed acquisition of all 3.51 billion IJM shares, Bernama reported.
Sunway also stated that it might designate a wholly owned subsidiary to receive the offer shares.
The takeover is contingent upon Sunway securing valid acceptances that would result in it owning more than 50% of IJM’s voting shares before the offer’s closure.
Trading in both Sunway and IJM shares was suspended at 9 am on Monday, pending a significant announcement.
On the last trading day, Sunway’s shares closed at RM5.60, while IJM’s shares ended at RM2.75, meaning the RM3.15 offer represents a premium over the current market price.
Rumours of a merger between Sunway and IJM first surfaced in November, with a Scoop report suggesting the creation of a dominant player in the engineering and construction sectors.
Sources said the two companies had been in discussions for over a year, with the potential deal involving a multi-billion-ringgit share swap, considering their combined assets, market capitalisation, and valuation. In 2024, Sunway posted a revenue of RM7.8 billion, while IJM’s revenue was RM5.9 billion.
A key consideration in the bid is that more than half of IJM’s shares are held by institutional Bumiputera firms and government-linked investment companies, whose stance will be crucial in determining whether Sunway can achieve the 50% ownership threshold.
Despite the speculation, IJM has denied any knowledge of a merger proposal, stating that its board has not been approached regarding such plans.
Likewise, Sunway clarified that there had been no prior discussions or negotiations with IJM before making the offer.
If successful, the takeover would create one of Malaysia’s largest construction and property conglomerates, blending assets, expertise, and market capitalisation.
Conversely, if rejected, the move could lead to a prolonged battle for control of IJM, with institutional shareholders holding the final say. – January 12, 2026