Singapore-listed Yoma Strategic Holdings has agreed to buy an interest in the Asia Beverages Co. group of companies (ABC Group), marking its first entry into Myanmar's fast-moving consumer goods sector.
Yoma will join hands with investment company PMM Partners to invest in the group's assets and businesses that relate to consumer goods.
These include producing, branding, marketing and distributing bottled water, spirits, wines, beers and alcoholic beverages, Yoma said in a filing to the Singapore Exchange on Monday.
Yoma will take a 30 per cent stake and PMM Partners will take a separate 20 per cent stake.
Yoma will pay up to US$11.1 million (S$14.2 million) for its stake.
The firm said that the deal was a "timely, tactical move" to be part of the growing consumer goods industry.
Yoma Strategic chief executive Andrew Rickards said in a statement that the partnership with ABC Group it would give Yoma "significant long-term opportunities" to expand its entry into Myanmar's consumer goods sector.
"We are also looking to establishing relationships with local and international FMCG (fast-moving consumer goods) groups."
The ABC Group was set up in 2010. It has operations throughout Myanmar with 24 branch offices and more than 1,000 full-time employees.
Yoma shares were 1.5 cents lower at 73.5 cents at 2.50pm on Monday.