The Ministry of Communications and Information Technology has invited local companies to submit proposals to form a special purpose vehicle and obtain the fourth integrated licence in the country.
The winning proposal will ultimately be partnered with a foreign company, and will likely compete head to head against Telenor, Ooredoo and MPT, which have all received integrated licences already.
Speculation has surrounded which companies would receive a fourth licence that was first announced in passing in state media in June 2013. Yatanarpon Teleport is one of the favourites, and yesterday its chief executive officer U Shane Thu Aung told The Myanmar Times the company will apply for the tender in cooperation with other local companies.
The invitation to tender, published in state media, said Myanmar has introduced market competition in the telecoms sector to help it develop.
“The main intention of this policy is to increase the quality of communication services, to offer cheap communications services to the public in both rural and urban areas, and to provide services so entrepreneurs and consumers can select their options,” it said.
Interested companies must first form a special purpose vehicle, and then submit a proposal by August 24 to the management committee. The winner will then form a joint venture with a foreign company, according to the invitation to tender published yesterday in Myanmar Ahlin newspaper.
Applicants must have been a public company for at least three months, and the proposal must have a minimum capital of K3 billion (US$2.4 million) and annual audited reports.
The tender also laid out a number of other requirements, such as requiring payments to the consultancy deciding the licence and the requirements to pay tax and only own up to 10 percent in the other licencees’ shares. It also directed interested applicants to visit the ministry’s website for further details.
Source: Myanmar Times