Yoma to divest tourism business through a reverse takeover

These businesses will be injected into a new platform.

Yoma Strategic Holdings Ltd. is planning spin off its tourism related business and list them on the Singapore Exchange through a reverse takeover (RTO) of SHC Capital Asia Ltd.

Its investment arm, Yoma Strategic Investments Ltd, has entered into a conditional sale and purchase agreement for the proposed sale of the group's tourism-related businesses in Myanmar with SHC.

These businesses comprise the Balloons over Bagan business; Pun Hlaing Lodge, a proposed hotel development in Hlaing Tharyar Township, Yangon, Myanmar currently under construction; and a parcel of land in Nyaung U, which is 4 km away from Old Bagan in Myanmar intended for the construction of a proposed commercial and tourism-related hospitality development.

These businesses would be injected into a new platform, which intends to be the first SGX-listed Myanmar-focused tourism company following the proposed RTO.

To recall, Yoma announced in early September its intention to partner with other players to establish a new tourism platform engaged in various tourism-related businesses focused on Myanmar.

Yoma Strategic Executive Chairman Serge Pun said the group's divestment of its tourism-related assets will unlock better value for shareholders.

"Tourism is a significant economic driver in Myanmar. Our participation in SHC will allow us to crystallise the value in Balloons over Bagan, Bagan Land and Pun Hlaing Lodge and realise synergies while gaining access to a wider capital base to participate in the strong growth of the Myanmar tourism market,” he said.