Yongnam

Yongnam: Grp intends to diversify its business into the business of investing into infrastructural dev in addition to its current core business. Grp will consider and explore JV and strategic alliance with co’s or partners with relevant expertise and market knowledge of infrastructural dev locally and overseas. The diversification is consistent with its business development and long-term strategy. In connection with the diversification, Yongnam has joined a consortium to evaluate the requirements of submitting a tender for the construction and mgt of Hanthawaddy International Airport in Myanmar. Its consortium partners are JGC Corp and Changi Airport Planners and Engineers. The consortium has been pre-qualified to submit a tender for the project, for which discussions are still at a preliminary stage. The award of the tender for the project is subject to the approval of the Myanmar authorities. We note that a successful tender, could lead to further inroads for into Myanmar for Yongnam, given the potential ‘construction boom’, as the country begins on substantial reforms and modernisation. As one of the biggest players in the strutted steel and fabrication segment in Asia, Yongnam could potentially leverage on this opportunity.