Malaysia’s IJM Board Urges Shareholders To Reject Sunway’s $2.8 Billion Takeover Bid |
The board of Kuala Lumpur-based construction company IJM Corp. has urged shareholders to reject the 11 billion ringgit ($2.8 billion) takeover bid from Sunway—the flagship of Malaysian billionaire Jeffrey Cheah—after an independent adviser concluded that the offer price was too low.
Sunway’s offer of 3.15 ringgit for each IJM share represents a discount of between 46.1% and 51.4% to the estimated fair value of IJM shares, according to independent adviser M&A Securities.
“The board has concurred with the conclusion and recommendation of M&A Securities that the offer is not fair and not reasonable,” IJM said in a regulatory filing late Friday. “Accordingly, the board unanimously recommends that the holders reject the offer.”
The adviser also noted that IJM........