Oriental Holdings Expands Hospitality Portfolio with RM411 Million Acquisition of Three Bayview Hotels

KUALA LUMPUR (Nov 7, 2025) — Oriental Holdings Bhd (KL:ORIENT), the diversified conglomerate best known as the distributor of Honda vehicles in Malaysia, is acquiring three Bayview-branded hotels from the Loh family for a combined RM411 million in cash, strengthening its position in Malaysia’s hospitality and tourism market.

According to its filing with Bursa Malaysia, Oriental has entered into agreements with Boon Siew Sdn Bhd, a Loh family-owned company, to acquire Bayview Beach Resort Penang for RM167 million and Bayview Hotel Georgetown for RM153 million. The group is also purchasing Bayview Hotel Langkawi from Boon Siew Development Sdn Bhd for RM91 million.

The purchase prices represent discounts to the independent market valuations of the assets, Oriental said.

Strengthening Oriental’s Domestic Hospitality Portfolio

Following completion, the acquisitions will increase Oriental’s Malaysian hotel portfolio from one to four properties, significantly enhancing its recurring income base from the domestic tourism and leisure market.

Globally, Oriental currently operates seven hotels and resorts, with its sole Malaysian property contributing just 4% of the group’s hospitality revenue in FY2024. The new acquisitions will deepen its local footprint and diversify earnings within its property and investment divisions.

“This acquisition aligns with Oriental’s long-term growth strategy to enhance its real estate and hospitality segments while leveraging synergies from its diversified portfolio,” the company said.

Major Refurbishment and Rebranding Plans

Oriental will invest an additional RM210.73 million to refurbish and rebrand the newly acquired hotels, transforming them into international-grade hospitality assets:

• Bayview Beach Resort Penang will undergo a RM107.62 million renovation and reopen as Ascott Batu Ferringhi Penang.

• Bayview Hotel Georgetown will receive a RM92.2 million facelift, rebranding to Oakwood Georgetown Penang.

• Bayview Hotel Langkawi will be refurbished for RM10.79 million and renamed FOX Hotel Langkawi.

The refurbishment programme is expected to raise the properties’ market appeal and operational efficiency, supported by established hospitality management brands.

Transaction Details and Completion Timeline

The acquisitions are related-party transactions, given that Oriental’s executive chairman Datuk Seri Loh Kian Chong holds a 0.16% direct stake and 42.62% indirect stake in the group through family-owned investment vehicles, including Loh Kar Bee Holdings Sdn Bhd, Loh Boon Siew Holdings Sdn Bhd, and Global Investments Ltd.

Completion of the acquisitions is subject to approval from non-interested shareholders at an upcoming extraordinary general meeting (EGM), with closing targeted for the third quarter of 2026.

Proceeds will be funded through internal cash and borrowings, while the properties will be acquired on a willing buyer–willing seller basis, free from encumbrances.

Market Impact and Broader Property Outlook

Analysts view the transaction as part of a broader trend of asset consolidation among Malaysian family-linked conglomerates, where groups with diversified portfolios are monetising or repositioning long-held commercial and hospitality assets.

The move by Oriental also underscores the resilience of Malaysia’s tourism and real estate sectors, supported by post-pandemic travel recovery and renewed investment confidence across both commercial property in KL and coastal leisure destinations like Penang and Langkawi.

In parallel, investors are also seeing continued activity in industrial land in Selangor, factories in Puchong, and industrial properties in the Subang area, reflecting Malaysia’s multi-sector expansion in both industrial and hospitality real estate.

Shares of Oriental Holdings ended unchanged at RM6.82 on Friday, valuing the group at RM4.23 billion.