{"id":777034623,"date":"2025-11-14T08:42:49","date_gmt":"2025-11-14T11:42:49","guid":{"rendered":"https:\/\/focusgn.com\/asia-pacific\/?p=777034623"},"modified":"2026-04-21T17:05:03","modified_gmt":"2026-04-21T20:05:03","slug":"independent-advisors-urge-genting-malaysia-to-reject-genting-bhds-takeover-offer","status":"publish","type":"post","link":"https:\/\/focusgn.com\/asia-pacific\/independent-advisors-urge-genting-malaysia-to-reject-genting-bhds-takeover-offer","title":{"rendered":"Independent advisors urge Genting Malaysia to reject Genting Bhd\u2019s takeover offer"},"content":{"rendered":"\n

Kenanga Investment Bank maintains that the proposal is \u201cnot fair and not reasonable\u201d.<\/p>\n\n\n\n\n\n\n\n

Malaysia.- Independent adviser Kenanga Investment Bank has reiterated its recommendation for minority shareholders to reject Genting Berhad\u2019s MYR2.35 (US$0.57) per-share offer for full control of Genting Malaysia. In a circular released yesterday, the bank said the offer is \u201cnot fair and not reasonable,\u201d noting that it represents a discount of between 32.47 per cent and 37.67 per cent to the company\u2019s intrinsic value based on a sum-of-parts valuation of MYR3.48 to MYR3.77 per share.<\/p>\n\n\n\n

The conclusion aligns with concerns raised by multiple analysts who argue that the holding company is attempting to privatise one of its most valuable subsidiaries at a price that fails to reflect its current performance or strategic prospects. As of Friday at 1pm Malaysia time, Genting Malaysia shares were trading at MYR2.38, above the price of the takeover offer.<\/p>\n\n\n\n

The bid became unconditional in October after Genting Berhad lifted its stake above 50 per cent<\/a>. By Thursday afternoon, the parent company had increased its shareholding to 57 per cent, securing more than 320.8 million shares through acceptances and an additional 114.5 million on the open market. The deadline for shareholders to accept the offer has been extended from November 24 to December 1.<\/p>\n\n\n\n

Kenanga\u2019s recommendation was supported by Genting Malaysia\u2019s non-interested directors, who also advised shareholders to reject the offer. Nomura analyst Tushar Mohata noted that while Genting Berhad may continue to build its stake, it is unlikely to reach the 75 per cent threshold necessary to initiate a delisting or the 95 per cent needed to pursue a compulsory minority squeeze-out unless it raises the offer price.<\/p>\n\n\n\n

The move was partly driven by Genting Malaysia\u2019s bid for one of three full-scale commercial casino licences in downstate New York, expected to be awarded by late 2025. The company operates Resorts World New York City (RWNYC) in Queens and has proposed a multibillion-dollar expansion that would allow table games.<\/p>\n\n\n\n

Analysts at Maybank Investment Bank consider RWNYC \u201cvirtually assured\u201d of securing a licence<\/a>. It projects the property could generate US$2.7bn in gross gaming revenue by 2031, capturing about 42 per cent of the downstate market. Maybank estimates the upgrade could lift Genting Malaysia\u2019s net profit to MYR1.93bn (US$455m) by 2030, growth not reflected in Genting Bhd\u2019s MYR2.35 offer.<\/p>\n\n\n

\n\t\t\tSee also:<\/span><\/p>\n
\n\t\t\t\t\"\"<\/p>\n

\n\t\t\t\t\tSee also:<\/span> Genting Berhad surpasses 50% ownership threshold of Genting Malaysia<\/a>\n\t\t\t\t<\/p>\n<\/p>\n<\/div>\n<\/div>","protected":false},"excerpt":{"rendered":"

Kenanga Investment Bank maintains that the proposal is \u201cnot fair and not reasonable\u201d.<\/p>\n","protected":false},"author":680,"featured_media":18062,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"is_press_release":false,"is_interview":false,"is_opinion":false,"focusai_summary":"Independent adviser Kenanga Investment Bank and Genting Malaysia's non-interested directors recommend minority shareholders reject Genting Berhad's MYR2.35 per-share offer for full control, citing a significant undervaluation against intrinsic value. Analysts highlight the offer fails to reflect Genting Malaysia's strategic assets, particularly the high probability of securing a downstate New York casino license for Resorts World New York City and its projected substantial GGR. Genting Berhad has increased its stake to 57%, but reaching delisting thresholds without a revised offer is deemed unlikely.","focusai_entities":"Kenanga Investment Bank, Genting Berhad, Genting Malaysia, Nomura, Tushar Mohata, Maybank Investment Bank, Resorts World New York City","focusai_location":"Malaysia, New York, Queens","focusai_target_profile":"ceo_executive (1.0), regulator (0.7), compliance_legal (0.7), operator_casino (1.0), investor_analyst (1.0), supplier_vendor (0.8), journalist_researcher (1.0)","focusai_suggestions":[{"label":"Genting Offer Strategy","query":"What strategic rationale underpins Genting Berhad's decision to pursue full control of Genting Malaysia at a valuation deemed \"not fair and not reasonable\" by independent advisers, particularly given the significant projected GGR from the potential downstate New York license?"},{"label":"New York License Impact","query":"How would a successful acquisition of the downstate New York casino license by Genting Malaysia, and its subsequent GGR projections, alter the intrinsic valuation of Genting Malaysia, and what implications does this have for any revised takeover bids?"}],"footnotes":""},"categories":[157,24628,158,16333],"tags":[24657,19394,226],"class_list":["post-777034623","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business-news","category-highlight-of-the-week","category-slider-home","category-south-east-asia-news","tag-genting-berhad","tag-genting-malaysia","tag-malaysia"],"_links":{"self":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/777034623","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/users\/680"}],"replies":[{"embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/comments?post=777034623"}],"version-history":[{"count":5,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/777034623\/revisions"}],"predecessor-version":[{"id":777034644,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/777034623\/revisions\/777034644"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/media\/18062"}],"wp:attachment":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/media?parent=777034623"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/categories?post=777034623"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/tags?post=777034623"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}