MIRA INFORM REPORT

 

 

Report No. :

325681

Report Date :

10.06.2015

 

IDENTIFICATION DETAILS

 

Name :

MYANMAR TOWER CO.,LTD.

 

 

Registered Office :

Room 301, Block D, 3rd Floor, Pearl Condominium, Kabaraye Pagoda Road

Bahan Township, Yangon

 

 

Country :

Myanmar

 

 

Date of Incorporation :

01.01.2014

 

 

Legal Form :

Company limited by shares

 

 

Line of Business :

Subject is engaged in manufacturing and providing services o building and general construction, telecommunication

 

 

No. of Employee :

200

 


 

RATING & COMMENTS

 

MIRA’s Rating :

NB

 

RATING

STATUS

PROPOSED CREDIT LINE

--

NB

                                       New Business

 

--

 

Status :

New Company

 

 

Payment Behaviour :

Unknown

 

 

Litigation :

Clear

 

 

NOTES :

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

 

 

ECGC Country Risk Classification List – December 31, 2014

 

Country Name

Previous Rating

(30.09.2014)

Current Rating

(31.12.2014)

Myanmar

B1

B1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

REGISTERED NAME & COMPANY SUMMARY

 

MYANMAR TOWER CO.,LTD.

 

 

With regard to your request on

 

Country Myanmar [ MM ]

Company Reg  

Company Name            DIGICEL MYANMAR TOWER COMPANY

Address                        301 , BLOCK D, PEARL CONDOMINIUM BAHAN TOWNSHIPKABAR AYE PAGODA ROAD YANGON

Postcode                      0

Telephone                     9977011744/9250194582

Comment         

Contact Company Name            -

 

 

ADDRESSES

 

Main Address:               Room 301, Block D, 3rd Floor, Pearl Condominium, Kabaraye Pagoda Road

Zip code/City:               Bahan Township, Yangon, Myanmar

Telephone:                    +95 9250194582

                                    +95 9977011744

 

Web site:                      http://www.mtc.com.mm/

E-mail:                          info@mtc.com.mm

WIN Worldbox No.:       MM0000064306

 

 

Profile

 

Established:                  2014

Line of Business:          Building and general construction, Telecommunication

Industry Division:          Manufacturing, Services

Industry-code (NACE):   4222 Construction of utility projects for electricity and telecommunications

                                    6110 Wired telecommunications activities

                                    6190 Other telecommunications activities

Banks:                          unknown

Employees:                  200

CNPJ:                           -

 

 

 

 

DIRECTORS/MANAGEMENT

 

Board of Directors:

 

Director                                    Ricky Steyn

Professional address:   Myanmar

Member                        Colm Delves

Professional address:   Myanmar

Member                        Lawrence Hickey

Professional address:   Myanmar

Member                        Denis O’Brien

Professional address:   Myanmar

Member                        Serge Pun

Professional address:   Myanmar

Member                        Andrew Rickards

Professional address:   Myanmar

 

 

Official Administration

 

Chairman                                  John Mulcahy

Professional address:               Myanmar

Chief Executive Officer              Oliver Coughlan

Chief Financial Officer               Susan Bank

Chief Development Officer        Kieran Rabbitt

Chief Human Resources            Officer  Kay Khaing Aung

Chief Legal Officer                    Andrew Gale

 

 

NEGATIVE INFORMATION

 

Public information:

No legal information is available.

 

 

SHARE & SHARE CAPITAL INFORMATION

 

Legal form:                               Company limited by shares

Incorporation date:                    01.01.2014

Balance sheet filing date:           -

Tax Contributor Number (CNPJ):-

Legal status:                             active

Responsible Register:               Registry of Myanamar

 

Entry    Deleted Name

active               Myanmar Tower Co.,Ltd.

 

Entry    Deleted Legal domicile

active               Bahan Township, Myanmar

 

Entry    Deleted Address

active               3rd Floor, Block D, Pearl Condominium, Kabaraye Pagoda Road, Bahan Township, Yangon, Myanmar/MM

 

Sanctions List

 

The company is not listed on the WorldCompliance Database.

 

 

PAYMENT INFORMATION

 

Import and Export:

-

 

Payment history:

No payment history is available.

 

Owners/-s:

Class:   100%

Type:    direct

Name:   Digicel Asian Holdings Pte. Limited

City/Country:     Singapore/SG

Interest:            100,00% voting right, 100,00% capital interest

 

Class:   50%

Type:    indirect

Name:   DIGICEL GROUP LIMITED

City/Country:     Bermuda/BM

Interest:            50,00% voting right, 50,00% capital interest

 

Class:   50%

Type:    indirect

Name:   YSH Finance Limited

City/Country:     British Virgin Islands/VG

Interest:            50,00% voting right, 50,00% capital interest

 

The subject is a subsidiary of Digicel Asian Holdings, an investment holding company, who develops, constructs, and leases telecommunications towers in Myanmar through its subsidiary. Digicel Asian Holdings Pte. Limited operates as a subsidiary of Digicel Group Limited.; and YSH Finance Ltd.

 

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, total investment to date stands at over US$4.5 billion worldwide. 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 development 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.

 

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 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.

 

 

FINANCIAL INFORMATION

 

Financial information:

Private companies in Myanmar are not required to disclose financial statements.

 

 

FOREIGN EXCHANGE RATES

 

Exchange rate:

US$ 1,00  =  MMK 1,092.70                               -  Official rate on 08.06.2015

 

 

ADDITIONAL INFORMATION

 

Main Activities:

The company is engaged in developing telecommunications network across The Republic of the Union of Myanmar. The company's main business services includes telecommunication tower leasing, the planning and design, deployment, management, and operation and maintenance of tower infrastructure.

 

MTC owns and operates 1250 tower sites in Myanmar including self-supporting towers of heights varying from 45 to 65 meters, monopoles and some rooftop solutions.

 

Partnerships:

- Yoma Strategic Holdings

 

Operations & branches:

At the address, 3rd Floor, Block D, Pearl Condominium, Kabaraye Pagoda Road, Bahan Township, Yangon, we find the company's head office.

 

Staff:

200

 

Company's Background:

In December 2, 2013, Digicel Group and YSH Finance Ltd (comprising Yoma Strategic Holdings Ltd (“Yoma Strategic”) and First Myanmar Investment Co., Ltd (“FMI”) announced that their reorganised consortium, Digicel Asian Holdings, has signed an agreement with Ooredoo Myanmar to develop, construct and lease telecommunications towers in the Republic of the Union of Myanmar as part of Ooredoo's commitment to deploy a world-class telecommunications network across the country.

 

We have been unable to obtain the full register details.

 

 

NOTES & COMMENTS

 

News

"Digicel's Myanmar deal adds to Islamic finance landscape

 

May 5 Cellular operator Digicel Group Ltd has obtained $60 million in sharia-compliant financing for its Myanmar venture, helping widen the reach of Islamic finance transactions as the sector continues to expand into new markets.

 

Islamic finance has seen a string of landmark deals over the past year, with debut sovereign Islamic bonds (sukuk) from Britain, Luxembourg and South Africa helping test the funding format across a growing number of jurisdictions.

 

Islamic financial products can require multiple transfers of title of the underlying asset, and so can present regulatory challenges for new jurisdictions in areas such as tax.

 

When Digicel's Myanmar Tower Company (MTC) accedes to the financing it would mark the first Islamic cross-border deal in the country, law firm Clifford Chance said in a statement.

 

"This transaction is also a milestone as very few cross-border financings in relation to Myanmar have been completed in recent years," said the law firm, which advised Doha-based investment firm QInvest on the deal.

 

Due to regulatory and timing issues, MTC's parent company in Singapore is the initial borrower of the funds, with the terms of the deal allowing the Myanmar entity to replace the parent company when it is able to do so.

 

In 2013, MTC signed an agreement to build and lease telecommunication towers in Myanmar for Qatar's Ooredoo , which in August became the first foreign firm to begin operations in one of the world's last mobile frontiers.

 

Norway's Telenor Group holds the only other international operating license in Myanmar.

 

As of March, Ooredoo had sold more than 3.3 million pre-paid SIM cards in Myanmar and hopes to expand coverage to reach 97 percent of the population within five years."

 

In Reuters May 4, 2015 by Bernardo Vizcaino.

"Myanmar Tower Co in talks for firm’s sale

 

Myanmar Tower Company (MTC), which is owned by Digical Asian Holdings, a joint venture between Digicel Group and YSH Finance, has been put up for sale, including all its contracts and sites, according to several market sources.

 

Several companies have made an initial bid and are now carrying out the due diligence process on MTC, according to a source at one of the companies, who did not want to be named as the matter is sensitive.

 

MTC and Yoma Strategic both declined to comment.

 

Digicel Group first came to Myanmar with a view to securing one of two international telecommunications licences tendered by the government, which were eventually won by Norway’s Telenor and Qatar’s Ooredoo.

 

Digicel Asian Holdings comprised Digicel Group, George Soros’s Quantum Strategic Partners and YSH Finance, according to company statements at the time. YSH Finance comprises Yoma Strategic Holdings and First Myanmar Investment Company, both chaired by prominent local businessperson Serge Pun.

 

After Ooredoo and Telenor won the licences, Digicel and YSH restructured Digicel Asian Holdings and formed a subsidiary called Myanmar Tower Company, which signed an agreement in 2013 with Ooredoo to develop, construct and lease 1250 telecommunications towers. Unlike other towers companies such as Irrawaddy Green Towers, MTC did not provide power to Ooredoo.

 

In May 2014, Yoma increased its stake in MTC from 8 percent to 25pc.

 

Ooredoo launched its services in August 2014 in Yangon, Mandalay, Nay Pyi Taw and surrounding area. Senior company officials said at the time that they wish they had more towers to provide coverage particularly in Yangon, though a tricky approvals process and impact from the rainy season slowed down the construction. Besides MTC, Ooredoo had an agreement with Pan Asia Towers to build its sites.

 

Myanmar’s land-use law has posed challenges for the companies building telecoms towers. For example, the law specifies more than 10 types of land and also often requires that projects receive approval from more than one ministry or department.

 

In December last year, the Asian Development Bank (ADB) approved a loan of up to $100 million to Yoma Strategic to “improve infrastructure connectivity”. It was not clear how much of this loan would have been used to build telecommunication towers.

 

Digicel Group Limited is an international telecommunications provider with operations in 31 markets in the Caribbean, Central America and Asia Pacific. It is owned by Irish businessperson Denis O’Brien, and has been in operation for 13 years.

 

Mr O’Brien’s businesses also own Myanmar electronic payments company Red Dot Network, as well as a major shareholder of MyJobs, one of Myanmar’s main recruitment companies.

 

Earlier this month, Mr O’Brien and his business partner Leslie Buckley sold their China recruitment business ChinaHR.com to online classifieds company 58.com."

 

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.63.94

UK Pound

1

Rs.98.27

Euro

1

Rs.72.37

 

INFORMATION DETAILS

 

Analysis Done by :

DIV

 

 

Report Prepared by :

ASH

 

RATING EXPLANATIONS

 

RATING

STATUS

 

 

PROPOSED CREDIT LINE

>86

Aaa

Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums

 

Unlimited

71-85

Aa

Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums

 

Large

56-70

A

Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums

 

Fairly Large

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

 

Satisfactory

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

 

Small

11-25

Ca

Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity

 

Limited with full security

<10

C

Absolute credit risk exists. Caution needed to be exercised

 

 

Credit not recommended

--

NB

                                       New Business

 

--

 

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

 

Financial condition (40%)            Ownership background (20%)                  Payment record (10%)

Credit history (10%)                   Market trend (10%)                                Operational size (10%)

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