A Malaysian company has cancelled plans to build a 32-storey office tower in Yangon with a local partner after the two sides failed to agree on the terms of the joint venture.
Bursa Malaysia-listed Naim Indah Corporation filed a note to the exchange on June 6 to say that its subsidiary, Naim Indah City Development, had cancelled its memorandum of understanding with United Pacific Development Company.
The two firms signed a deal last June to build an office tower on Yangon’s Pyay Road on land owned by U Hla Myint Shwe and Daw Aye Myat Mon, the owners of United Pacific Development.
The joint venture was to be 51 percent owned by Naim Indah City Development, according to an earlier filing to the exchange, while the local partner would hold 49pc.
Naim Indah Corporation hired Rajah & Tann Legal Myanmar to prepare the joint venture agreement and applied to the Myanmar Investment Commission to approve the tie-up in March, Malaysian media reported yesterday.
A spokesperson for United Pacific Company declined to comment.
Source: Myanmar Times
