Singapore, 8 July 2014 – Yoma Strategic Holdings Ltd. (“Yoma Strategic”, the “Company”, and together with its subsidiaries, the “Group”), through its 70%-owned subsidiary, Myanmar Motors Pte. Ltd. has entered into an agreement with Mitsubishi Corporation (“MC”) relating to their joint venture company, First Japan Tire Services Company Limited (FJTS1), to provide sales support for Bridgestone tires in Myanmar. MC will hold 70% of shares while 30% will be held by Myanmar Motors Pte. Ltd. The remaining 30% of Myanmar Motors Pte. Ltd is owned by First Myanmar Investment Co., Ltd (FMI), an affiliate of the Group, which is part of the Serge Pun & Associates (Myanmar) Limited enlarged group of companies (SPA Group).
MC and SPA Group signed a Business Alliance Memorandum of Understanding in October 2013 to jointly explore business opportunities in Myanmar, including automotive service and elevator-related businesses. To date, MC and SPA Group have entered into agreements to jointly distribute and operate after service centres for Mitsubishi Motors, distribute Mitsubishi Electric lifts and elevators and, together with JALUX, jointly operate the Mandalay International Airport. MC’s decision to enter the tire business in Myanmar is also based on the projection that demand for tires will grow in keeping with growth in the automotive market and that its business endeavours will contribute to the improvement of infrastructure.
MC and Bridgestone, the world’s top tire maker by market share, already have a series of tire manufacturing and sales joint ventures in South East Asia, particularly in Thailand, Vietnam and Malaysia. The new venture will draw on the know-how that MC has accumulated in the industry to provide sales and marketing support to SPA Group’s distributors that meets the needs of the local market and, in so doing, expand the sales of high-quality Bridgestone tires – mainly for passenger cars, trucks and buses – in Myanmar.
1 Please refer to the Company’s announcement dated 27 April 2014 for more information on FJTS.
YOMA STRATEGIC HOLINGS LTD
Company Registration No. 196200185E
78 Shenton Way
Tel: (65) 6223 2262
Fax: (65) 6220 1990
Source: Yoma Strategic Press Release