Yoma Strategic on Wednesday (June 24) proposed to increase its existing shareholding and take a controlling interest in mobile payments firm Digital Money Myanmar (Wave Money) via a US$76.5 million (S$106.2 million) deal.
The Myanmar-focused, mainboard-listed company intends to first restructure the holding of its interest in Wave Money, by forming a new investment holding company in Singapore named Yoma MFS Holdings (YMFS).
YMFS will then fork out US$76.5 million in cash to acquire Norwegian telecommunications giant Telenor’s 51 per cent stake in Wave Money, comprising 510,000 ordinary shares and 17.9 million redeemable preference share, under the proposed deal.
Yoma plans to invest up to US$25 million in YMFS, while the remaining consideration for the potential stake purchase will come from a Yoma-led consortium of investors that will become new shareholders of YMFS.
More information on these investors will be provided once the definitive agreements relating to the investments in the new holding company are executed, Yoma said.
It added that the proposed transaction will strengthen its interest in Myanmar’s financial services sector and forge greater collaboration between Wave Money and the group’s businesses.
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24 June 2020