Yoma

Yoma: According to media reports, Burma's Central Bank is expected to submit a new monetary policy during the next parliamentary session late this month, which could entail plans to gradually allow greater participation from foreign banks. UBS believes modernization of the banking sector is structurally positive and improved access to mortgage loans would likely lift property prices, benefitting Yoma ultimately. Burmese press releases indicate that Yoma's affiliate company, FMI, was awarded a government contract for a mass-market housing project (~2,700 flats) near Yangon International Airport. Since Yoma has the right of first refusal over the development, UBS thinks it could acquire a stake once the terms of the deal are finalized. According to the house, the proposed acquisition of Landmark Development is slated to occur by the end of Jun if the government grants the land lease extension on time. UBS maintains its Buy rating and TP of $0.87.