Investment & Market Trends

Sunway Bhd’s proposed takeover offer for all 3.51 billion shares in IJM Corp Bhd is set to close on April 6, 2026. Sunway said IJM shareholders will have until 5 pm on April 6 to consider the offer, which is being received through its indirect wholly-owned subsidiary, Fortuna Gembira Enterpris. The offer is conditional on Sunway receiving valid acceptances by the closing date that would give it more than 50% of IJM’s voting shares, the company said in a filing with Bursa Malaysia. On Jan 12, Sunway proposed a conditional voluntary takeover offer for the entire 3.51 billion IJM shares at RM3.15 per share. If fully accepted and without adjustments, the total consideration would be about RM11 billion, to be paid through a combination of cash and new Sunway ordinary shares. Sunway expects the proposed acquisition to be completed by the third quarter of 2026. At the midday break, Sunway and IJM shares rose one sen and two sen, respectively, to RM5.77 and RM2.70, with 6.68 million and 9.85 million shares traded.

Uber Technologies Inc is relaunching its ride-hailing service in Macau, marking its first new entry into an Asian market in years. Starting Tuesday (Feb 3), riders in the Chinese gambling hub can book and pay for taxis in multiple languages. Uber is also offering a limousine service between Macau and nearby Hong Kong, with trips requiring a 24-hour advance booking. The move comes years after Uber sold its China operations to Didi Global Inc in 2016 and exited Southeast Asia in 2018, ceding the market to Grab Holdings Inc. The company continues to operate in major Asian markets such as India, Japan, and South Korea. Uber said it is actively recruiting drivers in Macau and offering bonuses for trips completed this month, though it did not disclose how many local taxis have joined, suggesting initial service may be limited. CEO Dara Khosrowshahi previously told Bloomberg Television that Uber aims to offer robotaxi services in over 10 markets by the end of 2026, with potential expansions including Hong Kong and Japan. Macau, the only Chinese territory where casinos are legal, attracts millions of visitors annually and generates billions in gaming revenue, drawing tourists from mainland China, Hong Kong, and beyond. Uber had previously operated in Macau but suspended services in 2017.

Sentoria Group Bhd has filed a writ at the High Court of Malaya against OCBC Bank (Malaysia) Bhd, seeking to invalidate corporate guarantees issued in connection with two of its subsidiaries. In a filing on Tuesday (Feb 3), the PN17 company said the writ was lodged on Jan 30 and involves guarantees provided to OCBC Bank on behalf of Sentoria Borneo Land Sdn Bhd and Sentoria Borneo Samariang Sdn Bhd, both wholly owned units that are currently under receivership and management. The company is seeking a court declaration that the corporate guarantees are not enforceable. Sentoria is seeking a court declaration that the guarantees are unenforceable, an order to cancel them, and compensation or damages amounting to RM679 million. The company said the writ has yet to be served on OCBC Bank and is expected to be delivered within six months from the filing date. In April last year, Sentoria announced that receivers were appointed to both subsidiaries after they failed to meet repayment obligations under loan agreements by the March 28, 2025 deadline. Sentoria Borneo Samariang, classified as a major subsidiary, recorded negative net assets of RM29.7 million as at Sept 30, 2023, representing 18% of the group’s total assets. Sentoria Borneo Land, which is not a major subsidiary, posted negative net assets of RM48.7 million during the same period. At the group level, Sentoria reported a net loss of RM89.04 million on revenue of RM7.55 million for the financial year ended Sept 30, 2024 (FY2024). The group has been loss-making since FY2019 and was classified under PN17 in December 2024 after shareholders’ equity fell to 33% of its issued and paid-up capital. Earlier this month, Bursa Malaysia granted Sentoria a six-month extension until June 3, 2026, to submit its regularisation plan to address its PN17 status. Sentoria shares were unchanged at 1.5 sen at the midday break on Tuesday, valuing the group at RM9.34 million.

Shares of GuocoLand (Malaysia) Bhd were suspended from trading from 9am on Tuesday, pending a company announcement, according to a filing with Bursa Malaysia. The trading suspension follows a separate request by its parent company, GuocoLand Ltd, for a trading halt on the Singapore Exchange on Monday evening. GuocoLand (Malaysia) shares have risen 59.8% since the start of the year and last traded at 93.5 sen, their highest level since 2018, giving the company a market capitalisation of RM654.9 million. GuocoLand (Malaysia) is part of the Hong Leong Group through Hong Kong-listed Guoco Group. The company is primarily involved in the development of residential townships, as well as commercial and integrated properties in Malaysia. Its parent, GuocoLand, also has operations in Singapore and China. According to the company’s latest annual report, GLL (Malaysia) Pte Ltd, a wholly owned subsidiary of GuocoLand, is the largest shareholder with a 65.03% stake. Market data shows GuocoLand (Malaysia) shares are currently trading at 30.9 times trailing earnings and 0.5 times price-to-book value. As at end-December 2025, the group had cash and cash equivalents of RM197.2 million, against total borrowings of RM584.8 million, with net tangible assets of RM2.08 per share. For the second quarter ended Dec 31, 2025, the group reported a 9.48% decline in net profit to RM6.67 million from RM7.36 million a year earlier, despite revenue rising to RM150.82 million, the highest level in more than three years. The lower earnings were attributed to the absence of profit contributions from Emerald Hills’ North Tower following the delivery of vacant possession in December 2024, as well as a reduced share of profit from the Emerald Rawang development.

Panama’s top court has ruled that the contract allowing Hong Kong tycoon Li Ka-shing’s CK Hutchison Holdings Ltd to operate two ports near the Panama Canal is unconstitutional, creating fresh uncertainty over the conglomerate’s long-standing plan to sell the facilities. The ruling, announced Thursday via the court’s Instagram account, rattled investors. CK Hutchison shares plunged as much as 5.7% in Hong Kong trading on Friday, marking their steepest drop since April. CK Hutchison’s local unit, Panama Ports Co, said it has not yet received formal notification of the decision but argued the ruling contradicts the legal framework governing its operations at Balboa and Cristobal ports. The company called for coordination with the government to avoid disruptions and protect the concession, while reserving all legal options. The ports have long been a geopolitical flashpoint. Former US President Donald Trump has criticised perceived Chinese influence over the canal and threatened US intervention, while Panama’s President Jose Raul Mulino has repeatedly stressed the country’s full sovereignty over its operation. CK Hutchison began operating the ports in 1997, with a contract extension granted in 2021. The legal challenge was initiated last year by Panama’s Comptroller Anel Flores, who alleged that the extension cost Panama more than US$1 billion (RM3.9 billion) in lost tax revenue and that Panama Ports Co failed to obtain proper approvals. Following the verdict, CK Hutchison has limited options. It may request clarification from the court but cannot appeal the decision. International arbitration remains a possible route. Meanwhile, Panama Ports Co will continue operating the facilities until the legal clarification process, which could take several weeks, is completed. The ports are part of CK Hutchison’s plan to sell its 43 global terminals to a consortium led by Italian billionaire Gianluigi Aponte’s Terminal Investment Ltd and US investment firm BlackRock Inc. To secure Beijing’s approval, the company last year invited state-owned China Cosco Shipping Corp to join the buyer consortium. Analysts said the ruling is likely to reduce the valuation and proceeds from the port deal but is unlikely to derail the broader divestment. Panama contributes under 10% of CK Hutchison’s overseas port throughput, and the company may now complete the sale in separate parcels, adjusting ownership to reduce geopolitical and regulatory risks. “The Panama ruling will trim CK Hutchison’s port-deal valuation, though it was largely expected given prior legal and political signals,” said Bloomberg Intelligence analyst Denise Wong. “A parcel-based sale structure means the company can still likely complete most divestments and secure meaningful cash inflows.” The decision is not unprecedented. Governments have previously terminated private or foreign concessions for public infrastructure projects. Last year, Panama reclaimed land from a Chinese company that failed to build a port as required. Similarly, Egypt’s Damietta Port Authority revoked a concession in 2015, with compensation later settled after international arbitration. “There is a long history of states reclaiming control of ports and other infrastructure from private operators,” said Winston Ma, adjunct law professor at New York University. “Concession contracts typically reserve the right for governments to terminate for cause or public interest.”

WTK Holdings Bhd has secured unanimous shareholder approval to acquire stakes in three companies from related party WTK Realty Sdn Bhd for RM555 million. The Sarawak-based diversified group said shareholders approved the purchase of 100% equity in Desacorp Sdn Bhd, as well as 70% stakes in Imbok Enterprise Sdn Bhd and WTK Oil Mill Sdn Bhd. The acquisitions are expected to be completed by the second quarter of 2026. WTK Holdings noted that the move will significantly expand its plantation operations. Upon completion, the group’s total planted oil palm area will rise by 82.6% — from 17,420.59 hectares to 31,809.86 hectares — supported by favourable crop age profiles. The addition of an in-estate mill is also expected to improve supply chain efficiency and operational integration. WTK chairman Tan Sri Sulong Matjeraie said that following the divestment of the group’s loss-making timber operations, WTK is now focused on growing its plantation division as its core business, with stronger earnings quality and more sustainable long-term prospects. “Our immediate priority is the smooth execution and integration of the acquired assets into existing operations. This expansion of our upstream oil palm footprint, combined with integrated milling capacity, is expected to enhance production visibility, processing efficiency, and cost optimisation,” he added. Sulong also highlighted that exiting timber operations removes exposure to related impairments and operating losses, contributing to a more stable earnings profile. He said the acquisitions are expected to be earnings accretive, with their financial results consolidated into WTK, further strengthening the plantation division as the group’s main driver of profitability.

Axis Real Estate Investment Trust (Axis REIT) is looking to ramp up asset acquisitions in 2026, with a continued focus on industrial properties. Axis REIT Managers Bhd chief executive officer and executive director Leong Kit May said the approach follows the trust’s 2025 strategy, which targeted up to four industrial assets, mainly in Penang, Johor and the Klang Valley. Axis REIT Managers Bhd chief executive officer and executive director Leong Kit May (right). She said the trust believes up to four industrial acquisitions could potentially be completed in 2026, adding that Axis REIT remains open to further opportunities as the year progresses, with more guidance to be provided when plans are more certain. According to its presentation, Axis REIT completed the acquisition of an industrial facility in Northport, Port Klang, on Jan 27 for RM50 million. The trust is also planning to acquire an RM80 million warehouse in Telok Gong, Port Klang, which is expected to be completed in the fourth quarter of 2026. Further acquisitions are lined up, including industrial buildings in Seberang Perai, Penang, and an industrial facility in Senai, Johor. These are expected to be completed in the second quarter of 2027 and the fourth quarter of 2027, respectively. Leong said both the broader REIT market and Axis REIT are expected to maintain a positive outlook heading into 2026. Meanwhile, Axis REIT reported a strong financial performance for the fourth quarter ended Dec 31, 2025, with net profit rising to RM133.87 million from RM91.01 million a year earlier, supported by resilient net property income. Quarterly revenue increased four per cent to RM91.31 million from RM87.76 million previously. For the full year, net profit climbed to RM282.08 million from RM210.01 million, while revenue grew to RM364.2 million from RM320.1 million. The trust also declared a distribution of 2.75 sen per unit for the quarter, bringing total distributions for the financial year to 10.55 sen, up from 9.27 sen a year earlier.

OCK Group Bhd has signed a distributorship agreement with Japan-based Fujikura Ltd to distribute the company’s wrapping tube cable (WTC) series. Fujikura is a global provider of high-performance fibre optic cables, accessories, and integrated systems that support reliable, high-speed data transmission for telecommunications operators, data centres, and smart city projects worldwide. OCK said the collaboration aligns with its ongoing commitment to support Malaysia’s accelerating fibre rollout and network upgrading initiatives. According to OCK, a regional towerco and telecommunication network solutions provider, the distribution agreement will take effect from January 2026 and remain valid until December 2026. Under the agreement, OCK will distribute Fujikura’s WTC solutions along with a wide range of related accessories, allowing the group to strengthen its supply chain capabilities and expand its product offerings across its various business segments. Fujikura will retain the right to update product specifications and introduce new products, ensuring that OCK has access to the latest technological advancements from one of the leading fibre optic manufacturers. The collaboration supports OCK’s commitment to Malaysia’s accelerating fibre rollout and network upgrade initiatives. “With growing demand for high-performance fibre infrastructure driven by smart cities, data centres, artificial intelligence adoption, enterprise digitalisation, and 5G implementation, Fujikura’s optical cable solutions enhance our value proposition as a comprehensive digital and telecommunication solutions provider,” the group said.

LG Electronics has secured a 15-year incentive package worth 7.06 billion rupees (about US$76.3 million) from the Maharashtra state government, effectively offsetting the full cost of expanding its Pune manufacturing facility and lowering fixed costs at one of its key overseas production hubs. The incentive package, approved earlier this month and disclosed by LG Electronics India on Monday, covers investments made between November 2017 and October 2024 to expand the Pune plant, a core manufacturing base for the company in India. The deal strengthens LG’s cost base in India at a time when the company is tightening its focus on operational efficiency and margin discipline across global operations.  The incentives will be applied over 15 years through 2040 and include refunds on state goods and services tax for locally sold products, electricity subsidies, waivers on property and stamp duties, and partial reimbursement of employer contributions to India’s Employee Provident Fund. The agreement strengthens LG’s cost structure in India as the company sharpens its focus on operational efficiency and margin discipline across global operations. While LG posted record annual revenue of 89.2 trillion won (about US$61.8 billion) last year, profitability came under pressure in the fourth quarter amid softer demand and heightened competition in televisions and display products. In response, the company has identified cost control and localisation as key drivers of its next phase of growth. By reducing long-term manufacturing and operating costs in India — one of LG’s fastest-growing and most strategic markets — the incentive package enhances resilience against pricing pressure while supporting scalable production. “This certification provides a strong foundation for LG Electronics’ continued growth in India,” said Atul Khanna, chief accounting officer of LG Electronics India, in the company’s disclosure. The Pune facility manufactures televisions and air conditioners for the Indian market and selected export destinations. LG also operates a plant in Noida, near New Delhi, producing refrigerators and washing machines. Together, these two plants anchor LG’s India operations, supported by local research and development as well as a nationwide network of more than 700 brand shops and 900 service centres. LG is further expanding its local footprint with a third factory under construction in Sri City, Andhra Pradesh. Backed by a US$600 million investment, the plant is expected to begin air-conditioner production later this year, with phased expansion into refrigerators, washing machines and air-conditioner compressors through 2029.

Omesti Bhd has secured a contract worth up to RM43.1 million to provide WiFi network services at education institutions under Majlis Amanah Rakyat (Mara). The ICT firm’s subsidiary, Ohana Communications Sdn Bhd, was appointed as the universal service provider for Mara education institutions by the Malaysian Communications and Multimedia Commission (MCMC) under the Universal Service Provision initiative, according to a Bursa filing on Tuesday. Under the contract, Ohana Communications will install and upgrade WiFi network facilities at the institutions, and provide warranty and support services for 44 months. The MCMC’s Universal Service Provision initiative seeks to bridge the digital divide by extending telecommunications and digital communication services to underserved areas. Citaglobal Bhd received a similar appointment under the initiative, covering network facilities for public higher education institutions, polytechnics, community colleges, and institutions under the Human Resources Ministry. Omesti shares ended unchanged at 8.5 sen on Tuesday, giving the company a market value of RM186.44 million.