The spike in interest rates means that Wilmar’s net interest expense in FY2023 ended Dec 31 could rise to US$760 million compared to US$253 million in FY2021, before central banks began their current wave of rate hikes.
Alētheia Capital's Nirgunan Tiruchelvam has initiated coverage on Wilmar International with a contrarian "sell" call and $2.58 target price.
Wilmar is one of the region's largest agri-business. With a debt load of US$26.6 billion, it is also the Singapore-listed company with the heaviest debt, equivalent to 1.5 x its current market cap.
