Chairman's Statement

 

DEAR SHAREHOLDERS,

It has been nearly 3 years since we started our transformation as a Myanmar-focused conglomerate and we have undergone a corporate name change and branding to Singapore Myanmar Investco Limited (“SMI” or “the Group”) last year to reflect our business ambitions in this frontier market.

Our vision for Myanmar is clear and we have made strong strides in our value creation within our business activities over the past 12 months which will be shared in more details by the Group’s President and CEO, Mr Mark Bedingham, in the following pages.

Since joining us last year in January, Mark has played a central role in working with the Board to develop and execute the business strategies to create a growing portfolio of high-growth consumer-related and infrastructure-related business enterprises in Myanmar.

2015 has proved to be another watershed year for Myanmar as it has progressed quickly in both its economic and political developments. Notably, Myanmar held its first election after major economic, social and political reforms were undertaken in early 2011 and in November 2015, the National League for Democracy (NLD), led by NLD leader Aung San Suu Kyi, won a historic majority in the 664-seat Parliament, making it possible for them to form Myanmar’s first civilian government in more than 50 years.

Across Myanmar, there are visible signs of economic progress and this is expected to continue in concert with political liberalisation. According to the International Monetary Fund, Myanmar’s economic growth forecast in 2015 is estimated at 8.5% and it is expected to grow at a similar pace in 2016, fuelled by strong growth momentum and expansionary macroeconomic policies.

Aligned with this growth trend, the Group continued to seize market opportunities to expand our business presence in Myanmar by pursuing new business ventures with various globally-recognised brands and companies.

 

Transition to a New Phase of Development in Myanmar

Having undertaken several transformational business ventures in Myanmar, our diverse business portfolio has transitioned to a new phase of development over the last year for the financial year ended 31 March 2016 (“FY2016”).

Throughout FY2016, we have made disciplined investments in our business activities to strengthen the foundation in Myanmar and the Group’s business segments has achieved several milestones and encouraging developments as seen in the next few pages.

Given that there was an incubation period to develop the various activities segments in this emerging market, the Group registered a net loss position in FY2016. More details of our financial performance can be found within the independent auditor’s report in this annual report.

 

A Note of Thanks

Enhancing the performance of our diverse business model in Myanmar, we have added several experienced professionals to our executive bench so that we can further develop the value propositions of our business segments.

To our staff and Board of Directors, I wish to express my gratitude for yet another year of hard work, commitment and contributions. And on behalf of the Board of Directors, I would like to convey my appreciation to our business partners, bankers and business associates for your continuing support. I would also like to give thanks to our shareholders for your steadfast support as we continue to pursue our growth trajectory in Myanmar.

Continuing the efforts made in Myanmar since our transformative journey, I am certain that we can look to the future with confidence.

 

Thank You!

 

Ho Kwok Wai

Non-Executive Chairman