Subscription to raise US$3.07 million

The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 ("MAR"). With the publication of this announcement via a Regulatory Information Service ("RIS"), this inside information is now considered to be in the public domain.

31 May 2018

Myanmar Strategic Holdings Ltd.

("MSH" or the "Company" or the "Group")

Subscription to raise US$3.07 million

Myanmar Strategic Holdings Ltd. (LSE: SHWE), the independent developer and operator of consumer businesses located in Myanmar, one of the fastest growing economies in the world, is pleased to announce that it has raised US$3.07 million (before expenses) through the issue of 153,500 new ordinary shares in the capital of the Company (the "Subscription Shares") at a price of US$20 per share (the "Subscription"). The Subscription is expected to complete on or around 1 June 2018.

The Subscription funds, which have been received in full by the Company, have been raised from both existing shareholders and new investors, pursuant to the terms of the previously announced Share Issuance Programme. Details of the Share Issuance Programme, which provides the Company with continued flexibility to raise further capital, were announced by the Company on 19 March 2018.

In line with the objectives of the Share Issuance Programme, this Subscription will:

· allow the Company to accelerate the scale-up and expansion of the Group's existing divisions of hospitality, education and services;

· position the Company to take advantage of opportunities to expand the Group's existing operations in the hospitality, education and services divisions; and

· partially satisfy market demand for the Company's shares and improve liquidity in the market for those shares.

An application will be made shortly for the Subscription Shares to be listed on the standard segment of the Official List and to be admitted to trading on the London Stock Exchange's main market for listed securities. It is expected that such admission will become effective and that dealings in the Subscription Shares will commence at 8.00 a.m. on 7 June 2018.

The Subscription Shares will rank pari passu in all respects with the existing ordinary shares of the Company, including the right to receive dividends and other distributions declared following their issue. The Subscription Shares will represent 6.2% of the enlarged issued share capital of the Company.

In addition, the Company can confirm that an application will be made shortly for the 7,408 new ordinary shares in the Company to be issued to the vendor of EXERA (the "Consideration Shares") pursuant to the acquisition announced by the Company on 29 May 2018. It is expected that admission of the Consideration Shares will become effective and that dealings in the Consideration Shares will commence at 8.00 a.m. on 7 June 2018.

Enrico Cesenni, Founder and CEO of MSH, commented: "As demonstrated by the recent acquisition of EXERA, our focus remains on implementing our clearly defined expansion strategy, while integrating our existing businesses to generate synergies across the MSH portfolio.

"In a market which continues to experience rapid growth, the Subscription announced today will not only enable us to capitalise on future investment opportunities, but also to further develop our existing businesses and to create value for our shareholders."

For more information please visit www.ms-holdings.com or contact:

About Myanmar Strategic Holdings Ltd.

Myanmar Strategic Holdings Ltd. is an independent developer and operator of consumer-focused businesses located in Myanmar, one of the fastest growing economies in the world. Initially concentrating on Hospitality and Education, the Company has recently expanded into Services with the acquisition of EXERA, focusing on the broader consumer sector in Myanmar as it grows.

The Company's earliest investments have been in the Hospitality sector - through its portfolio the Company currently manages over 470 beds across 4 boutique hostels in 3 core tourist locations across Myanmar, operating under the award winning Ostello Bello budget hospitality brand. MSH operates an asset light strategy, entering into long-term operating and management agreements with local hostel owners.

Within its Education division, the Company currently has exclusive development and franchising agreements with Wall Street English for ten English language centres across Myanmar over the course of the ten-year agreement. Two centres were opened in 2017, and, as of March 2018, they served over 1,000 students. A third centre is scheduled for opening in August 2018.

The Company has also signed a joint venture with Auston Institute of Management to develop and operate the Auston College Myanmar. The private school opened in May 2018 and initially offers the following curriculum: (i) Diploma in Engineering Technology, (ii) Diploma in Construction Project Management and (iii) Diploma in Networking, Information Systems, and Security. English language learning will also be provided by the Company's nearby Wall Street English centre.

Finally, through its newly formed Services division with the acquisition of EXERA, the Company offers safety, security and cash in transit services. Founded in 2013, EXERA employs approx. 1,000 guards making it one of the largest safety and security operators in Myanmar.

Myanmar was one of the fastest growing economies in Asia in 2017 (Source: Asian Development Bank). In 2018, its annual GDP growth is expected to be about 8.0% (Source: Asian Development Bank), making it one of the fastest growing economies in the world.

MSH is well positioned to provide investors early exposure to Myanmar's strong economic fundamentals enhanced by ASEAN's wider growth prospects.