Exclusive: IFC to inject $30m equity into Irrawaddy Green Towers’ telecom project in Myanmar

International Finance Corporation – the private lending arm of the World Bank –  continues with its investment spree in Myanmar.

IFC is proposing a a debt and equity investment of $30 million each – totalling $60 million – in Yangon-based independent tower asset firm, Irrawaddy Green Towers Ltd (IGT), incorporated in Singapore with operations in Myanmar.

In addition to this, IFC has also committed to mobilise a potential parallel senior debt financing of another $30 million to fire Irrawaddy’s $490-million tower development project at a time when Myanmar’s fourth telecom operator, a consortium backed by Vietnam’s Viettel, begins operations. The three existing telecom operators in Myanmar are MPT, Telenor and Ooredoo.

IGT is promoted by Alcazar Towers Limited and M1 Telecom. Alcazar Towers – owned by Alcazar Capital – and M1 Group are registered in the Dubai International Financial Centre.

IGT has so far constructed over 2,000 towers in Myanmar and it plans to reach almost 5,000 towers by 2018 through a build-to-suit contracts. As an independent tower operator, IGT can build and lease tower assets to multiple mobile operators. IGT’s total project cost is about $490 million for erecting towers in both urban and rural areas.

IFC stated, in its filing, that the telecom sector in Myanmar is underdeveloped with about 41 per cent subscribers as of the quarter one of 2016 and is low by regional and global standards.

Through this investment, IFC seeks to promote tower sharing practice, which will result in lower capital and operational costs for the sector.

In January 2016, IGT raised $122 million syndicated loan from European the Development Finance to build mobile communications infrastructure across the country.

Also Read: 

Myanmar’s fourth telecom operator with Viettel to begin ops in May

Vietnam’s Viettel Global takes 49% stake in Myanmar’s fourth telecom operator

Viettel plans $1.5b Myanmar telecoms investment with local firms

 

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Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.