[[{“value”:”
SUNWAY REIT announced that it had entered into a conditional sale and purchase agreement with Sunway Medical Centre Penang Sdn Bhd.
It is a wholly-owned subsidiary of Sunway Healthcare Holdings Berhad, which is a 84%-owned subsidiary of Sunway City Sdn Bhd, which in turn is a wholly-owned subsidiary of Sunway Berhad for the disposal of Sunway Hotel Seberang Jaya (SHSJ) for a consideration of RM60 mil.
SHSJ is a 27 years old building. The disposal is expected to complete in quarter four of financial year 2027 (4QFY27). The disposal of SHSJ is not expected to impact earnings of Sunway REIT as the contribution from new SHSJ atop Sunway Carnival Mall will more than enough to compensate the loss of income of SHSJ.
“Hence, we make no changes to our earnings forecast. We maintain our target price for Sunway REIT at RM2.10, based on dividend discount model. We maintain our Neutral call on Sunway REIT mainly due to limited upside while yield is compressed at 4.6% following rally in share price,” said MBSB Research.
Nevertheless, MBSB see stable earnings outlook for Sunway REIT which will be mainly underpinned by solid contribution from retail division. —Oct 29, 2025
Main image: Sunway REIT
The post Sunway REIT divests ageing Seberang Jaya property, strengthens portfolio positioning first appeared on Focus Malaysia.
“}]]
