[TodayIR] YOMA: Yoma Strategic Gaining Momentum in Myanmar's

 [TodayIR] YOMA: Yoma Strategic Gaining Momentum in Myanmar's Agriculture and
                              Logistics Sectors

Singapore, 11 March, 2014 – Yoma Strategic Holdings Ltd. (the “Company”,
together with its subsidiaries, the “Group”) has made several key moves in
Myanmar's agriculture and logistics sectors. These strategic developments are
in line with the long-term vision and planning of the Company as it leverages
on its solid foundation to develop sectors of Myanmar's economy with strong
potential for future growth.

IFC

The Company has signed a mandate with the International Finance Corporation
(“IFC”), the member of the World Bank Group focused on private sector
development in emerging markets1, to provide a debt and equity financing
package to the Company for its venture into the agriculture and logistics
sectors in Myanmar (the “Agriculture & Logistics Businesses”) subject to
completion of IFC’s appraisal, environmental and social impact assessment,
investment committee and board decisions, and other approvals. The Company has
formed a new investment holding company, Yoma Agricultural & Logistics Holding
Pte. Ltd. (“YALH”)2, which is intended to hold the Group’s interests in the
four businesses described below.

Subject to the appraisal and approvals above, IFC will invest up to 20 percent
equity in YALH with the remaining eighty percent held by Yoma Strategic
Investment Ltd, a wholly-owned subsidiary of the Company, and IFC will make
its global network and expertise in agriculture investments in developing
countries available to the Group to supplement its local strength and
expertise.

Coffee

The Company has signed a conditional joint-venture agreement with ED&F Man
Holdings Ltd. (“EDFM”), a global specialist merchant of agricultural
commodities, to plant and produce lowland Robusta coffee (the “Coffee
Business”) within the Group’s plantation land at the Maw Tin Estate in the
Ayeyarwaddy Division of Myanmar. The Company and EDFM will respectively hold
85 percent and 15 percent of the Coffee Business which is expected to require
up to US$20 million of investment over four years with the aim of planting a
total of approximately 3,700 acres of coffee by the end of the fourth year.
EDFM, through its global trading network and expertise, intends to guarantee
the off-take of the whole coffee crop under an off-take agreement to be
entered into. It is intended that the Group’s interests in the Coffee Business
will be transferred to YALH.

Dairy

The Company has signed a Memorandum of Understanding (“MOU”) to form a
joint-venture with First Myanmar Investment Co., Ltd. (“FMI”) and PMM Partners
Limited (“PMM”)3 to supply UHT dairy products to the local consumer market in
Myanmar (the “Dairy Business”). The Company will hold 40 percent of the Dairy
Business with FMI holding 50 percent and PMM holding the remaining 10 percent.
It is intended that the Group’s interests in the Dairy Business will be
transferred to YALH.

The Dairy Business is expected to require an investment of up to US$46 million
over the next five (5) years, part of which will be used to purchase modern
world-class UHT processing equipment. Serge Pun & Associates (Myanmar) Limited
(“SPA”), the Group’s affiliated company, has signed a Letter of Agreement
(“LOA”) with the Ministry of Livestock, Fisheries and Rural Development of the
Government of the Union of Myanmar (“MOLFRD”) with the intention to become a
major supplier to MOLFRD and the Myanmar Government’s school milk programme,
supplying UHT milk to Myanmar school children.

Cold Storage and Logistics

The Company has signed a MOU with Kokubu & Co., Ltd (“Kokubu”) and FMI to
enter the cold storage and logistics business in Myanmar (“Cold Chain
Business”). The Cold Chain Business intends to enable farmers to better store
and transport their produce in the vast agriculture industry in Myanmar.

The Cold Chain Business will initially build two (2) key distribution centres
in Myanmar and distribute agricultural, seafood and processed products via
high-specification vehicles with chill and refrigeration capacity between the
distribution centres and other principal cities and industrial parks within
Myanmar. Kokubu will hold 50 percent of the Cold Chain Business, the Company
will hold 30 percent and FMI will hold the remaining 20 percent. The initial
capital investment for the Cold Chain Business is expected to be US$12
million. It is intended that the Group’s interests in the Cold Chain Business
will be transferred to YALH.

Commercial Vehicle Leasing

With reference to the announcement made on 28 January 2014 regarding the
establishment of Yoma Fleet Limited (“Yoma Fleet”), the Group’s vehicle
operating lease and rental business has signed its first three contracts in
February, with an aggregate order value of more than US$1.5 million placed for
trucks, buses and tractors. It is intended that the Group’s interests in Yoma
Fleet will be transferred to YALH.

Commenting on today’s announcement, Mr Andrew Rickards, CEO of Yoma Strategic,
said, “The Group is confident that the partnerships with IFC, ED&F Man, Kokubu
and, in Dairy, the Government of Myanmar, will provide a strong impetus for
our agriculture and logistic businesses to the benefit of the Company and the
country.”
 
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