Publisher and group CEO of The Edge Media Group, Ho Kay Tat, and chief executive of the group's The Malaysian Insider news portal, Jahabar Sadiq, were released early on Wednesday, about 24 hours after they were arrested.
The police did not ask for a remand for Ho and Jahabar, the company's lawyer Syahredzan Johan said.
"The investigating officer decided that most of the investigation was done," he said.
On Monday evening, three other editors from the Malaysian Insider, also arrested in connection with the same case, were released after the magistrate rejected a remand application by the police.
The arrests were over an article published on the web portal on 25 March that said the a Conference of Rulers, Malaysia's monarchy had rejected a proposal to amend a federal law that could allow the use of the Islamic punishment, hudud, in Malaysia.
An official of representing the Conference of Rulers filed a police report on 26 March, denying that the rulers had discussed or ruled on the issue. The youth wing of the ruling United Malays National Organisation party also filed a police complaint over the report, media reports said.