Yoma Strategic Holdings Ltd. · SGX:Z59
Yoma Strategic — Shareholder Meeting (September 2007)
33 slides from Yoma Strategic's shareholder meeting presentation, Sep 10, 2007
Slide 1: Plantation Resources Pte Ltd: A World Class Plantation Company in the Making
1 Plantation Resources Pte Ltd A World Class Plantation Company in the Making Extraordinary General Meeting 10 September 2007
Slide 2: Important Notice
2 Important Notice This presentation contains forward-looking statements which can be identified by the context of the statement and generally arise when the Company is discussing its beliefs, estimates or expectations. Such statements may include comments on industry, business or market trends, pro
Slide 3: Agenda
3 Agenda Details of PRPL Acquisition Rationale for Acquisition Proforma Financial Effects Questions & Answers
Slide 4: About Yoma Strategic Holdings Ltd. (YSH)
4 About Yoma Strategic Holdings Ltd. (YSH) Emerging YSH is a leading property group in Myanmar. Market Play Diversified Its range of businesses include property Business development, construction and piling services, and Portfolio project management and design services in Myanmar It is an affiliate
Slide 5: Details of Proposed PRPL Acquisition
5 Details of Proposed PRPL Acquisition
Slide 6: Acquisition Details
6 Acquisition Details Proposed Acquisition • On 22 Feb 2007, YSH entered into PRPL Sale and Purchase Agreement to acquire from Serge Pun 52.86% of the issued and paid up capital of Plantation Resources Pte Ltd (“PRPL”) • PRPL Purchase Consideration of S$5.87 million to be satisfied in full by the al
Slide 7: About PRPL
7 About PRPL Plantation Resources Pte Ltd (“PRPL”) • Incorporated in Singapore • Principal business activities are plantation development and investment in the supply of agricultural crops and produce • Appointed via a JPO (Joint Planting and Operation) Deed, as operator to exclusively manage, plant
Slide 8: About PRPL & MAGT
8 About PRPL & MAGT MAGT is a joint venture company formed 1 Feb 2006 with YNL and FMICO. • YNL refers to Yangon Nominees Limited, a company incorporated in Myanmar. • FMICO refers to First Myanmar Investment Company Limited, a public company incorporated in Myanmar
Slide 9: A World Class Plantation in the Making
9 A World Class Plantation in the Making Maw Tin Estate 100,000 acres of slight rolling hill with fertile soil land
Slide 10: Views from Maw Tin Estate
10 Views from Maw Tin Estate
Slide 11: Nursery Programme to Enhance Yield
11 Nursery Programme to Enhance Yield Jatropha Curcas Nursery at Bago • Bago Nursery, 98 acres of land for collaboration with Government Research Institute to test seeds from Africa, South American, India, Thailand and etc.
Slide 12: Views of the Nursery
Views of the Nursery ee eal! SPURS SN a can 12
Slide 13: Land Clearing, Terracing & Planting
13 Land Clearing, Terracing & Planting
Slide 14: About PRPL's JPO Deed
14 About PRPL’s JPO Deed • Under the JPO Deed, PRPL will exclusively management, oversee, market and sell the produce for MAGT, including sourcing for all necessary funding requirements. • In return, PRPL will receive fees amounting to 70% of the net profit after tax of MAGT and 70% of the economic
Slide 15: About PRPL's CPS Agreement
15 About PRPL’s CPS Agreement • CPS Agreement refers to “Crop and Produce Supply Agreement”, dated 25 July 2007 between PRPL and MAGT. • MAGT agrees to supply 70% of the produce to PRPL. PRPL is under no obligation to purchase any minimum quantity of the produce from MAGT. The supply of produce from
Slide 16: Rationale of PRPL Acquisition
16 Rationale of PRPL Acquisition
Slide 17: Rationale For Acquisition
17 Rationale For Acquisition • Exploring opportunities outside real estate sector • Create a broader and more balanced revenue stream • Taking strategic stakes in projects that might yield strong recurring revenue Why Jatropha Curcas & Biodiesel? • Global momentum for bio-fuel will create long term
Slide 18: EU and USA Sets Targets for Bio-Fuel Blending
18 EU and USA Sets Targets for Bio-Fuel Blending What is Bio-Fuel? Imposing Bio-Fuel Quota • Bio-fuel is any fuel that • Biofuels derives from biomass — it could Bio diesel + Diesel be oils from plants, manure OR from cows, wood from trees and Ethanol + Gasoline so on. It is a renewable energy • Eur
Slide 19: Kyoto Protocol & Demand for Biofuel
19 Kyoto Protocol & Demand for Biofuel Kyoto Protocol Categorisation • Kyoto Protocol, a voluntary • Governments are separated into 2 treaty signed by more than 160 categories: countries for reducing Green House Gas (GHS) Annex 1 Non-Annex 1 countries countries • Status of the agreement: (Developed)
Slide 20: When Global Diesel Consumption shifts…
20 When Global Diesel Consumption shifts… What if only 1% of global diesel consumption shifts to edible oils? The impact can be profound...The net impact is very powerful and shows that a total 1% switch from diesel consumption will result in a 19% increase in palm oil demand. -13 October 2006, Asia
Slide 21: Biodiesel – A Fast-Growing Sector…Globally
21 Biodiesel – A Fast-Growing Sector…Globally Bio-era ,,, estimates that the global biodiesel market will maintain a 30% CAGR in production between 2005 and 2010. Eurostat and European Union Directorate General Energy estimate that… the EU’s biodiesel consumption will increase dramatically from 3.8
Slide 22: Jatropha Curcas… a promising source for biodiesel
Jatropha Curcas… 22 a promising source for biodiesel 30 August 2006, Credit Suisse Research, “Biofuel Sector – Global comparisons of a fast-growing sector”
Slide 23: Jatropha Curcas Our Planting Programme & Yield
23 Jatropha Curcas Our Planting Programme & Yield
Slide 24: Plantation Program
24 Plantation Program Planting Program Yields & Returns Acres • 1st Year – Approx 0.6kg of seeds per tree 2007 4,000 • 2nd Year – Approx 1.0kg of seeds per tree 2008 9,722 • 3rd Year – Approx 2.0 kg of seeds per tree • 4th Year onwards – Approx 3.5 kg 2009 14,850 of seeds per tree 2010 14,050 Initia
Slide 25: Peer Comparison
25 Peer Comparison JC vs Oil Palm Jatropha Curcas Oil Palm Plants per acre 1,012 55 Seeds per acre 3.0 tons 8.1tons Yield per plant 33% 22% Avrge Crude Jatropha Oil 1.0 tons 1.8 tons produced per acre Fruiting years 49 years 20 years Total tonnage of crude over 120 tonnes 170 tonnes lifespan (approx
Slide 26: Price and Cost
26 Price and Cost Crude Jatropha Oil Crude Jatropha Oil Price & Yield Cost of Goods Sold • Price per CJO USD400 – 500 • COGS estimated – USD116 per acre • Yield per acre ranges from 0.8 tonnes to 1.2 tonnes • Comprises labour, depreciation of land, seeds, nursery & so on
Slide 27: Independent Valuation by Robert Khan & co
Independent Valuation 27 by Robert Khan & co Key Assumptions • Clear legal title / grant without encumbrances for 30 years • 100,000 acres (Maw Tin) 100% plantable • right to cultivate land or utilise land and/or benefits arising is marketable and transferable, shall be approved by relevant authorit
Slide 28: Purchase Consideration over Net Asset Value
Purchase Consideration 28 over Net Asset Value Purchase Consideration over Net Asset Value • PRPL Purchase Consideration : S$5.87 million • Net assets value of PRPL Sales of Share : S$5.51 million • Total net assets value of PRPL: S$10.42 million* * Does not take into account the valuation of PRPL’s
Slide 29: Market Value
29 Market Value Taking into account Market Value of the Maw Tin Estate • PRPL’s revalued operating rights to 70% of economic interest in Maw Tin Estate: US$20.86 million or S$31.72 million. • Purchase consideration of S$5.87 million would be a 67.3% discount to the revalued net asset value of PRPL S
Slide 30: Proforma Financial Effect
30 Proforma Financial Effect Before the After the Proposed PRPL Proposed PRPL Acquisition Acquisition Share capital as at 31 Mar 2007 Issued and paid up share capital (S$’000) 104,359 110,292 No of Shares (‘000) 425,817 441,347 NTA as at 31 Mar 2007 NTA (S$’000) 90,201 92.535* NTA per Share (cents)
Slide 31: Questions and Answers
iN Fe TP sae) ORE sical Sey cess RIEHL it
Slide 32: Position of Myanmar
32 Position of Myanmar Going the Green Way (04 Jan 2007) ‘Myanmar is in the midst of a three year plan to grow the physic nut for oil to replace petrodiesel and reduce reliance on fuel imports’
Slide 33: Corporate Support
33 Corporate Support Big Businesses Go Green (ST, 03 Feb 2007) “Corporations like Wal-Mart & Nike encourage use of renewable energy; pledge to cut carbon output”
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