Singapore Myanmar Investco faces summons linked to US$10.8m share sale

Singapore

A JOINT venture partner of mainboard-listed Singapore Myanmar Investco (SMI) has filed an originating summons to block SMI's US$10.8 million proposed disposal of TPR Myanmar.

SMI said on Wednesday night that the solicitors of Golden Infrastructure Group (GIG) had filed the summons seeking an injunction against the completion of the TPR sale to Tiger Infrastructure.

GIG is a minority joint venture partner in TPR's parent company Myanmar Infrastructure Group (MIG), a telecommunications tower business which is 97 per cent held by SMI.

The originating summons was filed against SMI, MIG and Tiger Infrastructure. GIG had sought among others, a declaration that any directors' resolution passed by MIG's board approving the disposal of TPR is in breach of a JV shareholder agreement dated June 1, 2014 between SMI and GIG.

SMI had said in an exchange filing on June 4 pertaining to the proposed disposal of TPR that telecommunications is a capital-intensive business and it is looking to focus its efforts on less capital-intensive and potentially better-performing business segments.

TPR builds, leases and operates telecommunication infrastructure and towers in Myanmar.

GIG had earlier pursued legal action against SMI's proposed sale of its 97 per cent equity interest in MIG to Shining Star International Holdings.

SMI closed unchanged at 28 Singapore cents on Thursday.