21 Jul 2015 07:00
21 July 2015
Myanmar Investments International Limited
Successful completion of subscription
Myanmar Investments International Limited (AIM: MIL) (the "Company"), the AIM-quoted Myanmar focused investment company, today announces that it has raised US$19,942,395 (gross) through a subscription of 17,341,214 new ordinary shares of nil par value (the "Ordinary Shares") at a Subscription price of US$1.15 per Ordinary Share (the "Subscription Shares") (the "Subscription"). This follows the Company's announcement on 15 April 2015 that, given its growing pipeline of potential investments in Myanmar, it was considering raising funding by way of an equity issue. The Company has also issued 5,780,408 listed warrants (the "Subscription Warrants") in the ratio of 1 Subscription Warrant for every 3 Ordinary Shares subscribed for as part of the Subscription.
The proceeds of the Subscription will be used by the Company to make further investments in Myanmar and for general working capital purposes.
The Company made its first investment in Myanmar, a 55 per cent. stake in a joint venture microfinance company, in late August 2014 and it is presently evaluating a number of potential investment opportunities in Myanmar in the finance, telecommunications, manufacturing, healthcare and education sectors.
On 7 April 2015 the Company announced that, together with two other potential joint venture partners, it had filed an application to the Securities and Exchange Commission of Myanmar ("SECM") to acquire all of the four types of securities licences that are now being issued in preparation for the opening of the new Yangon stock exchange later this year. To date the SECM has not awarded any licences. In addition the Company is in discussions with a company operating telecommunication infrastructure used to support the mobile telephone networks in Myanmar. There can be no certainty at this time that the Company will complete investments in either the securities joint venture or the telecommunications tower opportunity.
The Subscription Warrants are identical in all respects with the Company's existing 9,459,619 warrants (the "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 from 21 June 2015 to 21 June 2018
As a consequence of the Subscription, the interests of the following Shareholders is 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 (%) | Percentage of enlarged issued share capital in respect of the Warrants (%) |
LIM Asia Special Situations Master Fund Limited | 620,000 | 620,000 | 7,141,742 | 2,793,914 | 26.2% | 17.8% |
First State Investment Manager (UK) Limited | - | - | 2,608,695 | 869,565 | 9.6% | 5.5% |
Red Oak Operations Limited | 976,000 | 976,000 | 1,845,565 | 1,265,855 | 6.8% | 8.1% |
Incagrove Limited | 926,000 | 926,000 | 1,795,566 | 1,215,856 | 6.6% | 7.8% |
Alpha Investments Asia FCP-SIF Fund | - | - | 1,304,346 | 434,782 | 4.8% | 2.8% |
Finanzverwaltungs GbR Langen II | 429,000 | 429,000 | 1,298,565 | 718,855 | 4.8% | 4.6% |
Pachira Holdings Limited | 976,000 | 976,000 | 976,000 | 976,000 | 3.6% | 6.2% |
Crystal Consultancy Services Limited | 976,000 | 976,000 | 976,000 | 976,000 | 3.6% | 6.2% |
Bank Alpinum AG | - | - | 900,000 | 300,000 | 3.3% | 1.9% |
Application will be made to the London Stock Exchange for admission of the Subscription Shares and the Subscription Warrants to trading on AIM (the "Admission") and it is expected that Admission will take place and that trading will commence on AIM on or around 24 July 2015. The Company's Ordinary Shares trade under the "MIL" ticker and the Warrants trade under the "MILW" ticker.
The issued share capital of the Company following the issue of the Subscription Shares is 27,300,833 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 Subscription Warrants the Company will have 15,740,027 Warrants in issue.
Following Admission, the above figure of 27,300,833 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 and Transparency Rules.
Aung Htun, Managing Director, commented: "We appreciate the continued support demonstrated by our founding shareholders and also welcome a number of significant new shareholders. There continues to be a good flow of potential investment opportunities in a range of sectors in Myanmar. This is underpinned by a real need to upgrade infrastructure or provide products and services that are available in the rest of Asia. As a result Myanmar Investment will continue to raise capital to participate in these opportunities."
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 / Melanie Frean/ Jamie Barklem Grant Thornton UK LLP +44 20 7383 5100 |
Broker Nick Naylor/ Chris Crawford Allenby Capital Limited +44 20 3328 5656 |
Notes to Editors:
Myanmar Investments is the first Myanmar focused investment company to be admitted to trading in London and has been established for the purpose of investing in businesses operating in or with business exposure to Myanmar. The Company will target businesses operating in sectors that the Directors believe have strong growth potential and thereby can be expected to provide attractive yields, capital gains or both. In addition to investing into local businesses the Company will also partner with foreign companies investing in Myanmar.
In August 2014 the Company made its first investment in a microfinance joint venture company as detailed in its announcements on 26 August and 1 September 2014.
On 9 December 2014 the Company raised US$3,797,850 (gross) through a subscription of 3,617,000 new ordinary shares of nil par value at a subscription price of US$1.05 per ordinary share. The Company has also issued warrants in the ratio of 1 warrant for every 1 ordinary share subscribed for as part of the subscription.
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 and has been the subject of sanctions imposed on it by the EU and the US, amongst others.
The Company's primary objective is to build capital value over the long term by making investments in a diversified portfolio of Myanmar businesses that will benefit from Myanmar's re-emergence.
For more information about MIL, please visit www.myanmarinvestments.com