Lippo Malls Indonesia Retail Trust (LMIRT) said that it will pay the coupon on its S$120mn ($91mn) 6.6% perp on which it had skipped a payment last month. The company skipped the coupon due to covenants on its 7.25% 2024s which restricted them to make any distributions in the form of distributions on perps or dividends if its total leverage was above a regulatory gearing limit (currently 50%), or if the total distributable income was less than zero. The coupon payment will be made on February 16, which in turn will lift the dividend stopper provisions and allow the coupon payment due in March on the 7% Perp to be made. Lippo’s SGD 7% Perp and SGD 6.6% Perp were flat at 83.9 and 81 at market open.
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