KUALA LUMPUR (Aug 27): IJM Corporation Bhd (KL:IJM) has begun work on a separate listing of its construction division on Bursa Malaysia targeted for the third quarter of 2027.
“We have commenced preparation towards the listing and are working towards that timeline,” group chief executive officer and managing director Datuk Lee Chun Fai said at a press conference following IJM’s annual general meeting.
However, he declined to provide further details on the listing.
The Edge has previously reported that RHB Investment Bank and AmInvestment Bank had been appointed to advise on the proposed listing that will value the construction business at about RM5 billion.
If successful, the listing is expected to generate RM1.2 billion in proceeds for IJM under a broader three-year target to distribute RM3 billion to shareholders. The rest will come from monetisation of its toll asset and planned exit from India.
Lee said IJM has appointed advisers to study disposal options and reaffirmed plans to exit its India operations within two years.
Discussions are underway with interested parties for the disposal of its residential township land in Nagpur, he said, noting that the company has disposed of the first parcel of Raintree Park township in Vijayawada while sale of the second parcel is ongoing.
“The exit will be achieved progressively, with assets sold down in phases over the next two years,” he said.
Monetisation of its toll assets, including the New Pantai Expressway, Sungai Besi Expressway and Kajang–Seremban Highway, is ongoing with IJM assessing preliminary submissions received under the current request-for-proposal process, Lee said.
However, the process requires government approvals for changes in shareholding, he noted.