Singapore Myanmar Investco JV partner moves to block TPR Myanmar sale

SINGAPORE (June 21): Singapore Myanmar Investco (SMI) says its joint venture partner Golden Infrastructure Group (GIG) has officially initiated legal action against the group’s sale of TPR Myanmar.

To recap, SMI has been engaged in a dispute with GIG since Dec 2016 regarding their joint venture in Myanmar Infrastructure Group (MIG), which is the holding company of TPR and whose shares were to be sold as part of TPR Myanmar’s disposal.

SMI holds a 97% stake in MIG.

Together, they own a 99.9% interest in TPR, which is a builder, owner and operator of telecommunication infrastructure and towers in Myanmar.

SMI had formerly faced a series of litigation threats from GIG regarding its intended disposal of TPR.

When announcing the terms of TPR’s sale agreement on June 4, the group said it anticipated GIG would continue to threaten civil or criminal actions against the company regarding their interest in the sale of TPR.

In a Thursday filing, SMI says GIG has filed an originating summons seeking injunctions to restrain SMI and MIG from authorising their disposal of TPR and the related sale share agreement, until a directors’ resolution has been passed in terms of GIG’s joint venture shareholder agreement with SMI.

GIG is also seeking a declaration that any directors’ resolution passed by MIG’s board of directors approving of the sale share agreement is in breach of the terms of its own joint venture agreement between itself and SMI.

Concurrently, GIG has filed an ex parte summons against MIG and TPR’s purchaser to prevent them from completing the sale share agreement, until the originating summons has been resolved.

On this, SMI comments that no interim injunction has been granted as of yet, and that the group intends to proceed with its sale of TPR according to its original terms with the buyer.

It adds that the group is currently consulting its lawyers with the intention to defend against GIG’s claims.

Shares in SMI closed 1.8% higher at 28 cents on Wednesday.

Source: The Edge Singapore

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