THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF ARTICLE 7 OF THE MARKET ABUSE REGULATION EU 596/2014 ("MAR").
19 March 2018
Myanmar Strategic Holdings Ltd.
("MSH" or the "Company" or the "Group")
Proposed share issuance programme
Subscription to raise US$1.0 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 the launch of a Share Issuance Programme for up to four hundred thousand (400,000) new ordinary shares in the Company over the next 12 months.
The Share Issuance Programme is being implemented to provide the Company with flexibility should it wish to raise further capital as new investment opportunities arise over the next 12 months. It is the intention of the Directors of the Company that no shares will be issued under the Share Issuance Programme at an issue price per share which is less than US$20 per share.
The Directors believe that instituting the Share Issuance Programme will:
· allow the Company to increase the speed at which it can scale-up and expand the Group's existing operations in the hospitality and education divisions;
· enable the Company to raise additional capital quickly, in order to take advantage of investment opportunities that have been identified and which may be identified in the future; and
· partially satisfy market demand from time to time for the Company's shares and improve liquidity in the market for the Company's shares.
The Company also announces that, pursuant to the Share Issuance Programme, it has today agreed to conditionally raise US$1.0 million (before expenses) through the issue of 50,000 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 be completed by 29 March 2018. Following the Subscription, an application will be made 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.
The Subscription Shares will, when issued, 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 2.2% of the enlarged issued share capital of the Company.
Further announcements in respect of the Subscription and the Share Issuance Programme will be made by the Company at the appropriate time.
Enrico Cesenni, Founder and CEO of MSH, commented: "Our focus remains on implementing a clearly defined expansion strategy. In a market which continues to experience rapid growth, the programme and Subscription announced today will not only enable us to capitalise on future investment opportunities, but also to further develop our existing offering which the Board is confident will enhance value for our shareholders."
For more information please visit www.ms-holdings.com or contact:
Myanmar Strategic Holdings Ltd. Enrico Cesenni, Founder and CEO |
[email protected] |
Allenby Capital Limited (Broker) Nick Athanas Nick Naylor Nick Chambers |
+44 (0)20 3328 5656 |
Yellow Jersey PR (Financial PR) Georgia Colkin Joe Burgess Henry Wilkinson |
+44 (0) 7825 916 715 +44 (0) 7769 325254 +44 (0) 7951 402336 |
About Myanmar Strategic Holdings Ltd.
Myanmar Strategic Holdings Ltd. is an independent developer and operator of consumer businesses located in Myanmar, one of the fastest growing economies in the world. Initially concentrating on Hospitality and Education, the Company intends to focus 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 manages over 474 beds across 4 boutique hostels in 3 core tourist locations across Myanmar operating under the award winning Ostello Bello budget hospitality brand. It 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 Pearson for 10 Wall Street English language centres across Myanmar within the next 10 years. Two centres were opened in 2017, serving over 1,000 students as of February 2018.
Myanmar is currently the 4th fastest growing (as of March 2017) and one of the most promising economies within Asia Pacific. Its annual GDP growth is expected to stand at 8.0% in 2018 (Source: Asian Development Bank), making it one of the top 10 fastest growing economies in the world, whilst the number of middle class consumers in Myanmar is also expected to double by 2020.
Myanmar Strategic Holdings is well positioned to grant investors early exposure to Myanmar's strong economic fundamentals enhanced by ASEAN's wider growth prospects.
