Genting Berhad announces $1.6 billion takeover proposal of Genting Malaysia

Genting Berhad has proposed a RM6.74 billion ($1.6 billion) takeover of all remaining shares in its subsidiary Genting Malaysia Berhad that it does not already own. The offer remains conditional on regulatory approval, with completion expected by the fourth quarter of 2025.

The company plans to fund the acquisition through a mix of up to RM6.3 billion ($1.5 billion) in debt financing and internally generated funds, according to its filing with Bursa Malaysia on October 13.

The Malaysian conglomerate is offering RM2.35 ($0.49) per share in cash for the 50.64% stake, or about 2.87 billion shares, that it does not currently own in Genting Malaysia. Genting presently holds 49.36% of its subsidiary’s shares.

AmInvestment Bank Berhad is serving as the principal adviser for the transaction.

The offer represents a premium ranging between 9.8% and 22.9% over Genting Malaysia’s recent trading prices. It will become unconditional once Genting secures acceptances that push its ownership above the 50% threshold.

Should the acceptance level reach 90% or more, Genting may seek to delist Genting Malaysia from Bursa Malaysia and could invoke the compulsory acquisition provisions under Malaysia’s Capital Markets and Services Act to acquire the remaining shares.

According to Genting, full ownership would enable it to consolidate Genting Malaysia’s financial statements, streamline decision-making, and improve capital allocation across its business units.

Based on Genting Malaysia’s 2024 audited financial statements, the offer values the company at 9.1 times enterprise value to earnings before interest, taxes, depreciation, and amortization (EV/EBITDA), 53 times earnings, and 1.12 times book value.

For 2024, Genting Malaysia reported a profit after tax and minority interests of RM251.2 million ($59.4 million) and net assets of RM11.9 billion ($2.81 billion). The company’s second-quarter revenue increased 9.3% year-on-year to RM2.92 billion, bringing first-half revenue to RM5.51 billion, a 1.5% rise compared with the previous year.

Market data from the London Stock Exchange Group shows that Genting’s shares have declined about 26% year-to-date, while Genting Malaysia’s shares are down 5.3%.

The proposed takeover follows Genting Malaysia’s completion of its acquisition of the remaining 51% stake in U.S.-based Empire Resorts Inc. for $41 million in cash, finalized on May 31, 2025. The purchase made Genting Malaysia the sole owner of Empire Resorts, which operates Resorts World Catskills in New York.

Genting Malaysia manages Resorts World Genting in Malaysia—the country’s only licensed casino—along with properties in the United States, the United Kingdom, the Bahamas, and Egypt.

Genting’s move for full ownership is also tied to its plans to support a proposed $5.5 billion integrated resort project in New York through Genting Malaysia’s U.S. subsidiary, Resorts World New York City.

In its filing, Genting said that establishing full control of Genting Malaysia would allow it to consolidate resources and strengthen its financial position to pursue such large-scale investments. The company stated: “With control clearly established, Genting will be better placed to lend its financial strength and network to support this major development.”

The takeover is subject to approval by the Securities Commission Malaysia. Once completed, Genting Berhad will obtain statutory control over Genting Malaysia’s assets, enabling the group to manage its global gaming and hospitality operations under a unified structure.