Singapore magnate to axe army-linked tobacco investment in Myanmar

After the army deposed the country’s newly elected government in a coup last week, a prominent Singapore businessman said he would withdraw his investment in a tobacco company linked to the Myanmar military.

In a statement on Tuesday, February 9, Lim Kaling, co-founder and director of Hong Kong-listed gaming group Razer, said he was a minority shareholder in Virginia Tobacco Company through RMH Singapore Pte Ltd, which owns 49 percent of the Myanmar company.

According to a 2019 United Nations report, the remainder of Virginia Tobacco is owned by Myanmar Economic Holdings Limited (MEHL), one of two conglomerates controlled by the military in the world.

“Recent events there [in Myanmar] cause me grave concern,” Lim said in the emailed statement, which followed an online petition calling on him to cut his exposure.

Lim said he was “exploring options for the responsible disposal” of his one-third stake in RMH, his only remaining Myanmar investment, but gave no timeframe.

After the February 1 coup, foreign companies with investments in Myanmar have come under increased scrutiny. Kirin Holdings, the Japanese drinks giant, scrapped its beer partnership last week, which tied it to MEHL.

MEHL’s subsidiary scores cover a variety of industries, from ruby and jade mining to tourism and banking, and, according to the UN report, the conglomerate is owned and influenced by senior military figures, including Commander-in-Chief Min Aung Hlaing.

In recent years, Singapore has been Myanmar’s largest source of foreign investment, according to reports from both governments.

Lim’s announcement came after an online petition initiated by the Justice for Myanmar activist group urged Razer to expel Lim from its board if he did not end his business links with the military in Myanmar.

In his speech, which received 851 signatories, Lim did not respond to the petition, but the activist group declared a win.

“He heard our voices and acted. Thanks to all who signed. Keep up the fight,” the group said in a Twitter post. Amnesty International, along with other firms, including South Korea’s POSCO, has also called on RMH to sever its Myanmar ties.

Katherine S

1/4 German, 3/4 Malaysian. I write, follow and monitor closely political news happening in Malaysia, and other happening news in the ASEAN region. Newswriter for the best ASEAN news website - The Asian Affairs.

Recent Posts

Auto Draft

December 23, 2024

ICC adopts hybrid model for Champions Trophy 2025

The International Cricket Council has adopted a hybrid model for Champions Trophy 2025. On December 19, the ICC confirmed proposals…

December 23, 2024

Bangchak Reduces the Price of Premium Oil to 5 baht Ahead of Christmas & New Year

BCP (Bangchak Corporation Petroleum Public Company Limited) has announced a New Year gift to the users of BCP Premium oil…

December 23, 2024

Vietnam International Defense Expo 2024

The 2024 Vietnam International Defense Expo was inaugurated by the Prime Minister Pham Minh Chinh on December 19, 2024 and…

December 22, 2024

Shooting concludes: Stranger Things 5 to release on Netflix in 2025

Created by the Duffer Brothers, Stranger Things is one of the most popular sci-fi horror series globally. It is set…

December 21, 2024

China’s Hypersonic Expansion in Asia Raises Alarms for India

According to the US Department of Defense, China has now produced the most sophisticated supply of hypersonic weapons in the…

December 21, 2024

This website uses cookies.

Read More