(From left) Sunway Group’s Cheah, Sunway Property managing director Chung Soo Kiong, Sunway Group founder and chairman Tan Sri Jeffrey Cheah, Hongkong Land’s Smith and Hongkong Land executive director and general counsel John Simpkins at the event.
PETALING JAYA: Sunway Bhd
has sealed its largest-ever acquisition yesterday with a RM2.42bil deal to acquire Hongkong Land’s Singaporean and Malaysian residential development arm, MCL Land – a move that marks 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, itself a wholly-owned 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 executive deputy chairman Datin Paduka Sarena Cheah.
Cheah added 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.
“This is not just a transaction; it’s a strategic alignment that positions us to shape the future of integrated development and urban living in South-East Asia,” she added.
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 landbank 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 30 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 sale is part of Hongkong Land’s refined strategy to forgo residential development and focus more on investment properties.
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 Dec 31, 2025 for completion.
If successful, the deal will raise Sunway’s total Singapore investments to RM3.95bil since July 2025.
