EY refers to the global organization, and may refer to one or more, of the member firms of Ernst & Young Global Limited, each of which is a separate legal entity. Ernst & Young Global Limited, a UK company limited by guarantee, does not provide services to clients.
Recent Searches
Reframing the valuation discount under MY Value Up
Malaysia is entering a decisive phase in its capital market evolution. The newly launched MY Value Up program by Securities Commission Malaysia (SC) and Bursa Malaysia has shifted the long-standing valuation discount from a market observation to a board-level priority. For many public listed companies (PLCs), the question is why the discount exists and what it will take to close on it.
When examined closely, the discount issue is not uniform. It varies by sector, by company and often reflects underlying issues in capital allocation, returns relative to cost of equity and portfolio structure. Evidence from other markets shows that re-rating often follows buybacks, restructuring and disciplined allocation along specific financial metrics.
Companies in Malaysia will now need a more disciplined approach to how capital is deployed, how performance is measured and how strategy is communicated. This Take 5 business alert aims to offer a practical discussion for boards to value up and engage the market on better terms.
The framework is a broad market uplift separating companies that execute from those which do not. Early movers can define the benchmark and capture attention, while those that delay action are placed at a disadvantage once plans become public and comparable.