IJM Corp explores listing of core construction business after Sunway bid falls through
IJM Corp, one of Malaysia’s leading conglomerates, said on Monday that it is considering a listing of its construction division, following a failed takeover bid from rival Sunway. The company did not yet decide on a…
Source: CNA · September 20, 2026 at 8:20 PM · AI-assisted report
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KUALA LUMPUR, 20 SEPTEMBER 2026 —
IJM Corp, one of Malaysia’s leading conglomerates, said on Monday that it is considering a listing of its construction division, following a failed takeover bid from rival Sunway.
Market Impact
The company did not yet decide on a timing or structure for the potential float, and said it would engage “relevant parties” to assess possible options.
The construction arm represents more than 40 per cent of IJM’s projected 2025 revenue. Earlier this year, local media reported that a standalone listing could raise roughly RM1.2 billion ($293.40 million), unlocking up to RM4 billion in equity value. The figure reflects the market’s perception of the division’s standalone worth, separate from the parent group’s diversified holdings.
Sunway’s bid of RM2.7 billion for IJM, which had been on the table for 43 years, lapsed after the conglomerate failed to meet the acceptance condition. The collapse of the bid has prompted IJM to reassess its capital structure and consider divesting non‑core assets.
The decision to list the construction unit would allow IJM to raise capital directly in the market, potentially improving liquidity for its core operations. It would also give investors a clearer view of the construction business’s performance, which has been a significant contributor to the group’s earnings.
No firm timetable has been set, and IJM said any listing plan would require further evaluation. The company’s board will likely weigh the benefits of a public float against the costs of regulatory compliance and market volatility.
For investors, the move could signal a shift in IJM’s strategy, focusing on its most profitable segment. Analysts will watch the company’s financial statements for any indication of how the listing would impact debt levels and dividend policy.
The construction sector in Malaysia is expected to recover as infrastructure spending ramps up, but the industry remains sensitive to commodity prices and regulatory changes. A public listing could provide IJM with a more flexible capital base to take advantage of upcoming projects.
Overall, the potential float represents a significant development for IJM and the Malaysian market, but the company has made clear that it has not yet made a decision and that further analysis is required.
Related: IJM Corp · Bursa Malaysia · Kuala Lumpur