Bursa Malaysia and SC Value-Up Programme Sets Rigorous Capital Allocation Metrics

Kuala Lumpur, 22 August 2026 – Bursa Malaysia and the Securities Commission Malaysia (SC) are advancing the implementation framework for the national “MY Value-Up” corporate governance and market revitalization programme, establishing rigorous capital allocation benchmarks, return on equity (ROE) targets, and share valuation enhancement metrics for publicly listed corporations. The initiative aims to unlock shareholder value, narrow valuation discounts across mid- and large-cap Malaysian equities, and attract sustained international institutional capital inflows.

The Value-Up framework draws strategic inspiration from successful capital market reform initiatives across Japan and South Korea, which utilized regulatory scorecards, public corporate value plans, and exchange listing standards to encourage listed companies trading below book value to optimize balance sheets. Across Bursa Malaysia, where dozens of established corporate issuers with sound operating cash flows trade at price-to-book (P/B) multiples below 1.0x and price-to-earnings (P/E) discounts relative to regional peers, the programme introduces structured incentives for corporate boards to address market undervaluation proactively.