Sunway Healthcare Holdings Berhad (SHH) is acquiring nearly 10 acres of freehold land in Sunway City Iskandar Puteri, Johor, for RM45.37 million as part of its expansion strategy to establish a new 410-bed tertiary hospital in the fast-growing southern region.
The group said its 99.9%-owned subsidiary, Sunway Medical Centre Sdn Bhd (SMC), had entered into a sale and purchase agreement (SPA) with Sunway Marketplace Sdn Bhd, Sunway Parkview Sdn Bhd and Sunway Iskandar Sdn Bhd to acquire four adjoining parcels of land measuring approximately 9.918 acres.
The acquisition is classified as a related party transaction, as the vendors are entities within the Sunway Group. Sunway Marketplace and Sunway Parkview are wholly owned by Sunway Iskandar, a joint venture company of Sunway City Sdn Bhd, which is in turn a wholly owned subsidiary of Sunway Berhad.
The proposed acquisition replaces an earlier agreement signed in November 2024 for a leasehold interest in one of the land parcels. That agreement has been terminated following the execution of the new SPA, which provides for the acquisition of the freehold land instead.
The land will be amalgamated into a single title following a surrender and re-alienation exercise and will serve as the site for SHH’s planned 410-bed hospital, which carries an estimated total development cost of RM781.6 million.
SHH said the acquisition aligns with the group’s strategy of expanding its network of tertiary hospitals to capture growing demand for private healthcare services in southern Malaysia.
Upon completion, the new hospital is expected to strengthen SHH’s healthcare portfolio and support its long-term growth strategy while meeting the increasing demand for specialist medical services in the region.
The RM45.37 million acquisition will be funded through a combination of internally generated funds and external borrowings, where appropriate.
