KUALA LUMPUR (March 18): Sunway Healthcare Holdings Bhd (KL:SUNMED) ended its much anticipated Main Market debut 28% higher after raising nearly RM3 billion in the country’s biggest listing in nine years.

The hospital operator opened 17% higher at RM1.70 than its RM1.45 initial public offering price, rose to a high of RM2.07 during the day and closed at RM1.85, with approximately 594.7 million shares traded. It was the most actively traded stock on the exchange.

The strong debut comes on the heels of strong demand during its IPO as applications from retail investors exceeded the available amount of shares for subscription by nearly six times. Shares set aside for institutional investors were also fully taken up.

Investors piled in, pushing its market value to RM21.3 billion and boosting its chances of a fast-tracked entry into the FTSE Bursa Malaysia KLCI. FTSE Russell and Bursa Malaysia confirmed Sunway Healthcare's inclusion into the FBM KLCI in a statement late Wednesday. It will replace QL Resources Bhd (KL:QL) effective March 25, 2026.

Sunway Healthcare is one of the largest private hospital operators in Malaysia with capacity of nearly 2,000 beds. The company’s flagship is the 848-bed Sunway Medical Centre in Sunway City Kuala Lumpur.

The IPO is backed by 20 cornerstone investors, including the likes of Employees Provident Fund, Lembaga Tabung Haji, and JPMorgan Asset Management (Singapore) Ltd. The list includes a RM60 million investment by World Bank Group's International Finance Corporation (IFC), it said in a separate statement, to support better healthcare access and job creation in Malaysia.

Cornerstone investors typically agree to buy a large chunk of IPO shares ahead of the IPO, and their presence helps in boosting the company's appeal to other potential investors.

“We have garnered strong interest on both domestic and international investors, with foreign institution investors making up 60% of the book building demand,” Sunway Healthcare chairman Tan Sri Dr Jeffrey Cheah said in his speech at the listing ceremony. 

Funds raised from the public issue totalling RM834 million are mainly earmarked for expansion, including the development of new hospitals and the expansion of existing facilities, alongside partial repayment of borrowings and listing expenses.

Meanwhile, proceeds from the offer for sale of existing shares amounting to RM2 billion went to Sunway Bhd (KL:SUNWAY) and Singaporean sovereign wealth fund GIC that manages the country's foreign reserves.

Maybank Investment Bank and AmInvestment Bank are the joint principal advisers, global coordinators, bookrunners and underwriters for the IPO.

UBS, HSBC, and Jefferies are the joint global coordinators and joint bookrunners. Kenanga Investment Bank is also a joint underwriter.

Affin Hwang Investment Bank, CIMB Investment Bank, and RHB Investment Bank are the joint bookrunners and joint underwriters.

CLSA, DBS, Mizuho Securities, and United Overseas Bank are the joint bookrunners.

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Sunway Healthcare to raise nearly RM3 bil in Malaysia’s biggest IPO in nine years