PETALING JAYA: Sunway Bhd
has sealed its largest-ever acquisition with a RM2.42bil deal to acquire Hongkong Land’s Singapore and Malaysian residential development arm, MCL Land, the deal representing a major milestone in Sunway’s strategy to expand its regional property footprint.
The transaction, valued at up to S$738.7mil, will be executed through Sunway Labuan Investment Ltd, a wholly owned subsidiary of Sunway City Sdn Bhd, the latter itself a full unit of Sunway.
Under the share purchase agreement (SPA), the purchase consideration comprises a base net asset value of S$720.7mil plus a deferred payment of up to S$18mil, depending on the gross development value achieved by MCL Land’s projects.
“This acquisition marks a decisive expansion of our footprint in one of Asia’s most competitive property markets,” said Sunway's executive deputy chairman Datin Paduka Sarena Cheah, before adding that combining MCL Land’s market expertise with Sunway’s track record in sustainable, mixed-use developments creates “a robust platform to accelerate growth” across the region.
The deal will boost Sunway’s unbilled sales in Singapore from RM2bil to nearly RM6bil, providing immediate earnings visibility from ongoing projects. MCL Land, established in 1963, brings with it a pipeline of about 2,700 residential units across five Singapore developments valued at S$2.9bil, alongside landbanks in Wangsa Maju and Seremban.
Sunway will also gain recurring income streams through assets such as Wangsa Walk Mall in Kuala Lumpur, which has a net lettable area of 330,000 sq ft and a 99% occupancy rate as of June 2025.
Hongkong Land chief executive Michael Smith said: “This is a business Hongkong Land has grown for over thirty years, with a strong brand known for quality. With the backing of Sunway Group, MCL Land’s seasoned team will continue delivering exceptional homes across Singapore and Malaysia.”
The acquisition is subject to standard closing conditions, including partner consents in joint ventures and the absence of material adverse events. The SPA sets a cut-off date of December 31, 2025 for completion.
If successful, the deal will lift Sunway’s total Singapore investments to RM3.95bil since July 2025.
