Digicel Asian Holdings, comprised of the Digicel Group, the First Myanmar Investment Co. Ltd and Yoma Strategic Holdings Ltd, has signed an agreement with Ooredoo Myanmar to develop, construct and lease telecommunications towers in Myanmar. We understand from management sources that detailed terms regarding ownership and capital outlay for the consortium are still being negotiated and will be announced in due time. Digicel Asian Holdings’ company in Myanmar, Myanmar Tower Company, will construct multitenancy towers in Myanmar and aims to work with multiple telecommunications operating companies, including Ooredoo’s, to facilitate its commitment to rapidly achieving coverage across the country after winning a coveted license.
In June of 2013, Myanmar authorities awarded two telecommunications licenses to Norway’s Telenor and Qatar’s Ooredoo. As part of the reported requirements, winners of the tender must launch their services within nine months of the licence being granted and install a network to cover a quarter of the country within a year, and three quarters within five years. Given that this is a mostly green field project in an undeveloped country, it makes tremendous sense for both telecommunication players, and for the local telecommunication companies, as well, to outsource the build out and share resources to manage costs and gain strategic synergies.
Commenting on the announcement, Mr. Denis O’Brien, Chairman of Digicel Group, said, “We are delighted to work with Ooredoo to help develop a high quality telecommunications network across the Republic of the Union of Myanmar, contribute to the growth of the Myanmar economy and benefit Myanmar citizens across all of the country’s States, Regions and Union territories.”
Mr. Serge Pun, Chairman of Yoma Strategic and FMI, added, “Today’s announcement is a significant step in the economic and social development of the Republic of the Union of Myanmar. We are delighted to play our part in such development and look forward to working closely with the Government, authorities, telecommunications operators and other local companies.”
About Digicel Digicel
Group Limited is a leading global telecommunications provider with operations in 31 markets in the Caribbean, Central America and Asia Pacific. After 12 years of operation, the total worldwide investment to date stands at over US$4.5B. The company is renowned for delivering best value, best service and best network.
Digicel runs a host of community-based initiatives across its markets and has set up Digicel Foundations in Jamaica, Haiti, Papua New Guinea and Trinidad and Tobago, which focus on educational, cultural and social developmental programmes.
Digicel is the lead sponsor of Caribbean, Central American and Pacific sports teams and individuals including the world’s fastest man, Usain Bolt, and Special Olympics teams throughout these regions. Digicel also sponsors the West Indies cricket team.
About YSH Finance Limited
YSH Finance Ltd is part of the SPA Myanmar Group, one of the leading business groups in Myanmar, with companies active in key business sectors, including financial services, real estate development, automobile distribution, agriculture, manufacturing, services, retail and travel, and tourism.
YSH Finance Ltd is owned by the First Myanmar Investment Co. Ltd (“FMI”) and Yoma Strategic Holdings Ltd (“Yoma Strategic”), two public companies within the SPA Myanmar Group.
In 1992, Mr. Pun set up FMI, a public company in Myanmar with over 4,500 shareholders, all of whom are Myanmar nationals. Employing approximately 5,000 people within the Group, FMI is active in a broad range of activities in Myanmar.
In 2006, Mr. Pun led Yoma Strategic to a successful listing on the mainboard of the Singapore Stock Exchange, which is today an internationally publicly listed company offering investors direct exposure to Myanmar.
