What Shareholders Of Yoma Strategic Holdings Ltd Have To Say About Myanmar And The Company

Maingalarpar! (That’s hello in the Myanmar language.)

Over the weekend, I was in Yangon, a city in Myanmar, as an observer for a shareholder’s trip that was organised by Yoma Strategic Holdings Ltd (SGX: Z59) to allow its investors to better understand its business. The company is involved in a wide array of businesses and they are all mainly focused on the once-reclusive Myanmar.

For me, the highlight of the trip was the great opportunity to have a close-up look at Myanmar and get a first-hand feel for the opportunities that may lie await in the country.

During the trip, I spoke to a number of Yoma Strategic’s shareholders about their impression of Myanmar and the company and this is what they have to share.

On surprising observations

“I was surprised by the spending power of the people. Yoma Strategic commented that many of their customers do buy their cars and properties in cash. I am also surprised by the tremendous growth opportunities this country has to offer, I believe in the management and see this company as a growth company.” – SP Yeo, shareholder of Yoma Strategic

“I was pleasantly surprised with the trip. The company seems to have the first mover advantage in most of the businesses that it is operating in.” – Anonymous shareholder of Yoma Strategic

“I am surprised by the willingness of management to open up to investors and be very transparent with their operations.” – Anonymous fund manager and shareholder of Yoma Strategic

On key risks for the company

“The key risk for me has to be the political risk. Right now things are looking good for Myanmar, but you still have to be aware of the political risk.” – SP Yeo

“The key risk for me is the country risk. Basically I feel the company might rise and fall with the country.” – Anonymous shareholder of Yoma Strategic

“For me, many of the businesses and projects of Yoma Strategic Holdings are still at a very early stage. So there is still a huge amount of execution risk as to whether the company can successfully scale up its businesses.” – Anonymous fund manager and shareholder of Yoma Strategic

What you’ve seen above are just some of the observations made by the company’s shareholders during the trip.

While I think that Myanmar and one of the company’s real estate development projects have huge potential in the future, it’s worth noting that there are still substantial risks involved. Investors who are interested about the company should take a deep look – on things such as the company’s valuation and the opportunities and risks with the firm’s multiple business segments – before any investing decision can be reached.

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The information provided is for general information purposes only and is not intended to be personalised investment or financial advice. Motley Fool Singapore writer Stanley Lim does not own shares in any companies mentioned above.