We initiate coverage of BWE — the third biggest water supply company in Vietnam and monopoly water distributor in Binh Duong Province — with a BUY rating and target price of VND31,100/share, implying a projected TSR of 22.8% (inclusive of a 4.6% yield). BWE is poised to benefit from robust water demand growth in Binh Duong Province. BWE reported a water loss ratio — or non-revenue water (NRW) ratio — of 5.6% in 2019, which would rank third in Asia Pacific in terms of efficiency behind Singapore