First Myanmar Investment (FMI) has increased its capital contribution to its subsidiary Yoma Bank by almost K9.6 billion, after accepting a loan facility from Bangkok Bank, said a company announcement yesterday.
FMI, owned by businessperson Serge Pun, is the first and only company to list on the Yangon Stock Exchange and owns a 51 percent stake in Yoma Bank.
Executive director U Tun Tun said the equity of the bank’s shareholders has risen to K67 billion from K48 billion, in an announcement filed to the stock exchange website. “The company may carry out capital increases from time to time as necessary to reinforce the financial founding of its’ subsidiaries,” it said. FMI focuses on financial services, real estate and healthcare.
Share trading volume dropped below 10,000 on April 28, while FMI’s share price was K30, 000.
YSX director U Thet Tun Oo said the capital injection to the bank will support the group of companies over the long-term, adding to investor interest. As the sole listed company, FMI’s share value defines the success of the exchange. “The share price will probably rise when the company holds its annual general meeting and announces shareholder dividends in the next few months,” he said.
“YSX is trying to ensure shares are priced fairly by relying on the listing values and target prices suggested by securities companies.”
According to the Securities Exchange Commission of Myanmar, the first trading date for Myanmar Thilawa SEZ Holdings Limited (MTSH), the second company to list on the exchange, has been postponed to mid-May from late April. MTSH chair U Win Aung declined to give information about the company’s IPO date.
Source: The Myanmar Times
