UEM Sunrise Berhad and Eco World Development Group have ended all discussions of a proposed merger.
The proposal for the merger of UEM Sunrise and Eco World into an enlarged entity was made by UEM Group Berhad and had been carefully deliberated by the Company’s Board of Directors. The UEM Sunrise Board of Directors had earlier agreed on 30 December 2020 that it will embark into the next phase, which is the formal process of due diligence.
UEM Sunrise said that it will continue to focus on the implementation of its growth strategies to maintain its position as one of Malaysia’s leading property developers.
“In spite of the prevailing economic uncertainties and challenging market conditions, UEM Sunrise remains cautiously optimistic given opportunities continue to exist as Malaysians prioritise having their own homes,” they said in a statement.
“We will further leverage upon our digital-first marketing plans and strategies, market-leading customer-centricity and roll out products tailored to meet customers’ demand. With its healthy balance sheet, UEM Sunrise is well-positioned to pursue its options to support its growth plans.”
In a separate statement, Eco World chairman Tan Sri Liew Kee Sin said that the cessation of talks on the proposal merger will enable EcoWorld to actively pursue other proposals that may be more complementary to their present growth plans and strategies.
“It will also enable us to focus on the Group’s own business plans for FY2021 which includes a sales target of RM2.875 billion for EcoWorld Malaysia that is 25% higher than the actual RM2.3 billion sales recorded in FY2020.”