Retail major City Mart partners Sandanila to invest in food SMEs in Myanmar

Photo: Juliet Shwe Gaung. Flag of the Union of Myanmar.

City Mart Holdings Co Ltd (CMHL), a leading retail chain in Myanmar, is partnering Sandanila, a financial intermediary firm, to set up City Invest Fund which will target investments in SME food manufacturers in Myanmar, according to an announcement.

The fund, which does not have a fixed size, will be targeting to invest between $50,000 and $250,000 each in the SMEs, Thiri Thant Mon, managing partner of Sandanila told DEALSTREETASIA. Mon will serve as the managing director of the City Invest Fund, leading its investments and operations.

“The City Invest Fund will also provide technical assistance, capacity building, marketing strategy for wider market access and training to improve production quality and standards,” said Htet Htet Khaing, business development manager of City Mart Holding Co Ltd.

Khaing will be in charge of leading the liaison between CMHL and City Invest Fund. The advisory board of City Invest Fund will be led by Win Win Tint, CEO of CMHL.

City Mart Holding, which started as a supermarket in 1996, has now branched into a number of verticals such as pharmacy (City Care); book stores (City Books & Music and Safari Bookstore); premium supermarket brand (Marketplace); large format retail (Ocean Supercenter); and Seasons Bakery & Cafes, among others.

To date, the holding company has 24 branches under City Mart Supermarket and 13 under Ocean Supercenter.

Last year, Premium Distribution, a distribution arm of CMHL made a six-digit dollar investment in Food2U, a home-grown food delivery platform.

In the same year, Premium Distribution also took a majority stake in a joint venture with Yangon-based financial advisory firm Trust Venture Partners (TVP) to acquire the vegetable growing business of Myanmar PAT Co Ltd engaged in hydroponic cultivation of organic salad and vegetables.

Meanwhile, Sandanila invests its own capital and that of its partners into long-term investment bets. The firm works with the government and large businesses to help them attract additional long-term investment capital.

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