KUALA LUMPUR - IJM Corporation Bhd’s (IJM) share price fell in early trading on Tuesday after the company confirmed that officers from the Malaysian Anti-Corruption Commission (MACC) and the Inland Revenue Board of Malaysia were present at the company’s office on Monday to obtain information as part of their processes.
At 10am, the stock shed nine sen to RM2.56, with 23.38 million shares traded.
It was reported that the MACC is currently focusing its investigation on allegations involving IJM in connection with an alleged RM2.5 billion money laundering scheme.
The report, quoting an internal source, said senior members of the company’s management bearing the title Tan Sri, as well as a company adviser, have been identified as persons of interest.
Hong Leong Investment Bank Bhd (HLIB) said this latest development comes just a week after Sunway Bhd and IJM announced a conditional voluntary general offer proposed by the former to the latter’s shareholders at an offer price of RM3.15 per share.
"Note that under the Securities Commission Malaysia (SC) rules, an acquirer/offeror is unable to cancel or withdraw the offer without first obtaining prior written approval from the SC.
"Assuming a best-case scenario for the deal, we foresee delay risks towards the target deal completion timeline, previously slated for the third quarter 2026.
"This is considering the possibility of heightened deal due diligence procedures with the ongoing probe. On the other hand, a worst case scenario to our knowledge would entail either withdrawal in writing to SC or failure in obtaining shareholders’ approval (at an EGM), resulting in Sunway being prohibited from making another takeover offer for the next 12 months,” it said in a note today.
HLIB maintained an ‘accept’ call for IJM with a target price of RM3.15. - BERNAMA