Yoma shares dive as it discloses meetings with Myanmar authorities (updated)

Yoma Strategic Holdings

10/07/2024 06:17

(Changes keywords for media clients to YOMA STRATEGIC -STOCKS/,
adds context, paragraphs 4-5, 7,9-11)
       SINGAPORE, July 10 (Reuters) - Shares in Myanmar-focused
conglomerate Yoma Strategic Holdings  YOMA.SI  fell nearly 17%
in Singapore on Wednesday after the company said Executive
Chairman Serge Pun was cooperating with authorities in the
capital Naypyitaw on bank business matters.        
    "There are no charges filed against him," the company said
in a statement, adding that Pun had been meeting with
authorities including the central bank.  
    "As a responsible business organisation in Myanmar, the
group engages with the relevant government ministries and
regulators from time to time." 
    The Myanmar Now news outlet reported on Tuesday that Pun had
been detained for more than a month over alleged violations of
banking regulations, citing anonymous sources.
    A Myanmar junta spokesman did not respond to calls from
Reuters seeking comment.
    Pun is a property tycoon whose interests have expanded into
financial services, food and auto sales.
    In 2006, the Myanmar citizen, who worked in Hong Kong before
returning home, led Yoma's listing on the Singapore Stock
Exchange, according to the group's website.  
    Yoma stock dropped as much as 21.5% in early trade and was
last down 16.7% at S$0.1319 ($0.098), its lowest for two weeks.
    Myanmar's economy has been in turmoil following a 2021 coup
where the country's powerful military ousted an elected civilian
government, triggering widespread protests that have given way
to a nationwide armed rebellion against the junta.
    Escalating violence, labour shortages and a depreciating
currency have made it harder to do business, according to the
World Bank, which has also forecast that economic growth is
likely to remain at a measly 1% in the current fiscal year.
    In a bid to stabilise its rapidly depreciating currency and
rampant inflation, junta authorities have made dozens of arrests
in recent weeks, including a Japanese national working for a
supermarket chain in Myanmar.
    
    ($1 = 1.3496 Singapore dollars)

 (Reporting by Tom Westbrook and Reuters staff; Editing by Tom
Hogue an d Michael Perry)
 ((tom.westbrook@tr.com; +65 6973 8284;))