“Notwithstanding the above, should the exchange rates as at Jan 31 of $1 to 11,413 rupiah and US$1 to $1.32 be used in place of the exchange rates as at Dec 31, 2022, the estimated aggregate leverage ratio of LMIRT as at Dec 31, 2022 based on updated approximate asset valuations and other information currently available to the manager would be 42.9%,” says the REIT manager.
The manager of Lippo Malls Indonesia Retail Trust (LMIRT) says it estimates its aggregate leverage ratio to be at 44.6% as at Dec 31, 2022. This is 0.9 percentage points higher than the aggregate leverage ratio of 43.7% as at Sept 30, 2022.
The increase is attributable to the “significant depreciation” of the Indonesian rupiah against the Singapore dollar (SGD) during the 4QFY2022 ended Dec 31, 2022 where the exchange rate was $1 to 11,659 rupiah, compared to the exchange rate of $1 to 10,566 rupiah as at Sept 30, 2022. The depreciation reduced the value of LMIRT’s total assets when translated into SGD.
