13 Sep 2016 07:00
13 September 2016
Myanmar Investments International Limited
("MIL" or the "Company")
Issue of equity to raise US$4.2 million
Myanmar Investments International Limited (AIM: MIL), the AIM-quoted Myanmar focused investment company, today announces that it has raised, in aggregate, US$4,219,081 (before costs) through a direct subscription with the Company for 3,245,447 new ordinary shares of nil par value each in the capital of the Company (the "Subscription Shares"), (the "Subscription"), at a price of US$1.30 per new ordinary share (the "Issue Price").
The Subscription Shares, when issued, will be fully paid and will rank pari passu in all respects with the existing ordinary shares of the Company.
The Company also announces that it has issued 811,368 warrants (the "Warrants"), in the ratio of 1 Warrant for every 4 Subscription Shares subscribed for as part of the Subscription. The Warrants are identical in all respects with the Company's existing 15,232,680 warrants currently in issue. Each warrant entitles the holder to subscribe for an ordinary share at an exercise price of US$0.75. The warrants may be exercised at any time to 21 June 2018.
The proceeds of the Subscription will be used to fund the Company's investment pipeline in order to take advantage of a number of live investment opportunities. It is expected that, subject to market conditions, the proceeds will be deployed within six months.
In relation to the Subscription, Aung Htun, Managing Director commented: "After a relatively quiet period around the time of the election, MIL now sees substantial growth opportunities in Myanmar and expects to invest in a number of companies over the next 6 to 12 months. This current fund raising is the first part of a carefully planned and disciplined strategy that we hope will lead to a significant increase in our size and liquidity."
As a consequence of the Subscription, the interests of the following shareholders are disclosed:
Shareholder Name | Current interest in Ordinary Shares | Current interest in Warrants | Resultant interest in Ordinary Shares following the Subscription | Resultant interest in Warrants held following the Subscription | Percentage of enlarged issued share capital in respect of the Ordinary Shares (%) | Warrants held as a percentage of total enlarged Warrants in issue (%) |
LIM Asia Special Situations Master Fund Limited
| 7,141,742 | 2,793,914 | 7,718,665 | 2,938,145 | 25.3% | 18.3% |
Stewart Investors Asia Pacific Fund | 2,608,695 | 869,565 | 3,023,695 | 973,315 | 9.9% | 6.1% |
Red Oak Operations Limited | 1,845,565 | 1,265,855 | 2,105,569 | 1,330,856 | 6.9% | 8.3% |
Incagrove Limited | 1,795,566 | 1,215,856 | 2,103,258 | 1,292,779 | 6.9% | 8.1% |
Alpha Investments Asia FCP-SIF Fund | 1,304,346 | 434,782 | 1,449,475 | 471,065 | 4.7% | 2.9% |
Finanzverwaltungs GbR Langen II | 1,298,565 | 718,855 | 1,443,051 | 754,977 | 4.7% | 4.7% |
Pachira Holdings Limited | 976,000 | 976,000 | 1,113,499 | 1,010,375 | 3.6% | 6.3% |
Crystal Consultancy Services Limited | 976,000 | 976,000 | 1,113,499 | 1,010,375 | 3.6% | 6.3% |
Bank Alpinum AG | 900,000 | 300,000 | 1,065,000 | 341,250 | 3.5% | 2.1% |
LIM Asia Special Situations Master Fund Limited ("LIM") will subscribe for 576,923 Subscription Shares pursuant to the Subscription. LIM's participation constitutes a related party transaction pursuant to rule 13 to the AIM Rules for Companies due to LIM being a substantial shareholder of MIL. Accordingly, the directors of MIL consider, having consulted with the Company's nominated adviser, Grant Thornton UK LLP, that the terms of LIM's participation in the Subscription are fair and reasonable insofar as the Company's shareholders are concerned.
Total Voting Rights
Application has been made for the Subscription Shares and the Warrants to be admitted to trading on AIM under the tickers "MIL" and "MILW" respectively. It is expected that admission with occur and dealings in the Subscription Shares and the Warrants will commence on or around 16 September 2016 ("Admission").
Following admission to trading of the Subscription Shares, the issued share capital of the Company will be 30,553,627 ordinary shares of nil par value, with voting rights. The Company does not hold any ordinary shares in Treasury. In addition, following the issue of the Warrants the Company will have 16,044,048 warrants in issue.
Following Admission, the above figure of 30,553,627 ordinary shares may be used by shareholders in the Company as the denominator for the calculations by which they will determine if they are required to notify their interest in, or change to their interest in, the share capital of the Company under the Financial Conduct Authority's Disclosure Guidance and Transparency Rules.
The information contained within this RNS is considered to be inside information prior to its release as defined in Article 7 of the Market Abuse Regulation No. 596/2014 and is disclosed in accordance with the Company's obligations under Article 17 of those Regulations.
For further information please contact:
Aung Htun Managing Director Myanmar Investments International Ltd +66 81 836 5104 +95 94 0160 0501 aunghtun@myanmarinvestments.com | Michael Dean Finance Director Myanmar Investments International Ltd +65 82 99 98 98 +95 94 2006 4957 mikedean@myanmarinvestments.com |
Nominated Adviser Philip Secrett / Jamie Barklem/ Carolyn Sansom Grant Thornton UK LLP +44 20 7383 5100 |
Broker Andrew Pinder / David Herring Alistair Roberts (Hong Kong) Investec Bank plc +44 (0) 20 7597 4000 |
Notes to Editors:
Myanmar Investments International Limited ("MIL") is the first Myanmar-focused investment company to be admitted to trading on the AIM market of the London Stock Exchange. It was established in 2013 to act as a conduit for overseas investors to invest in businesses led by dynamic and visionary Myanmar entrepreneurs and foreign companies investing in the country. MIL is led by co-founders Aung Htun and Mike Dean, private equity professionals and entrepreneurs with a strong regional track record of investment and profitable exits in SE Asia.
MIL aims to identify investments with strong growth which if necessary can be "de-risked" through the introduction of experienced senior line-management, mentors and/or strategic partners sourced by its Founders. Key sectors are those experiencing acute supply vs. demand imbalances, such as consumer and other capacity-constrained sectors.
To date, MIL has invested in Apollo Towers, a top 3 telecom towers company with 1,800 towers, and MFIL, a top 10 microfinance company whose loan book has grown over 400% since investment. With its strong proprietary investment pipeline of deals, MIL provides investors with a highly disciplined and conservative investment process into one of the most promising growth opportunities of this era.
Myanmar, a country of approximately 51.4 million people and roughly the size of France, has been isolated for much of the last 50 years. Once one of the more prosperous countries in Southeast Asia as it has an abundance of natural resources (oil, natural gas, arable land, tourist attractions and a long coastline), it is now one of the least developed countries in the world.
Following the general elections in Myanmar in November 2015 the National League for Democracy, led by Daw Aung San Suu Kyi, won an overwhelming majority of the seats and the new administration took power on 1 April 2016.
For more information about MIL, please visit www.myanmarinvestments.com