IJM Corporation Bhd faces critical decision on Sunway takeover offer
On 6 April 2026, shareholders of IJM Corporation Bhd (KL:IJM) were required to decide whether to accept Sunway Bhd’s voluntary takeover offer (VTO). The offer, valued at RM 11 billion, was announced on 3 April and was set to close at 5 pm that day.
Offer terms
Sunway’s bid valued each IJM share at RM 3.15. The payment structure involved 10 % in cash or an equivalent of RM 0.31 per share, with the remaining 90 % to be settled through newly issued Sunway shares priced at RM 5.65 each. For the offer to proceed, Sunway had to acquire a minimum of 50 % + 1 shareholding in IJM before the 5 pm deadline; otherwise the offer would be withdrawn and any accepted shares would be returned to IJM.
IJM’s stance
The board of IJM has consistently opposed the VTO. On 3 April, the company stated that it had no knowledge of any pre‑offer discussions with Sunway’s shareholders and reaffirmed its rejection of the takeover bid. Subsequent statements from the board repeated the position that the offer was unfair and unreasonable. IJM’s management urged shareholders to reject the proposal.
Market reaction
The announcement drew comments from Sunway’s leadership. Founder and controlling shareholder Tan Sri Sir Dr. Jeffrey Cheah expressed frustration over the debate surrounding the potential merger. Sunway’s co‑chairman Idris Jala dismissed allegations that the opposition to the bid was driven by racial or political motives, calling such claims “completely ridiculous.”
Outcome
The deadline at 5 pm on 6 April marked a decisive moment for IJM shareholders. The outcome of the vote would determine whether Sunway’s proposed merger could proceed or whether IJM would remain an independent entity. The decision has significant implications for both companies’ strategic direction and for the broader Malaysian industrial sector.
