Lippo Malls Indonesia Retail Trust’s (LMIRT) manager says that it has informed holders of its $140 million perpetual securities tranche issued in September 2016 that the manager will not be paying distributions scheduled for March 27.
“The unpaid March 2023 Distribution is non-cumulative and does not accrue distribution. As a result of the exercise of this discretion, the dividend stopper provisions under the Perpetual Securities are applicable. The Issuer shall not: (A) declare or pay any dividends, distributions or make any other payment on, and will procure that no dividend, distribution or other payment is made on the Units or (except on a pro rata basis) the $120,000,000 Perpetual Securities issued on June 18, 2017,” LMIRT’s manager says.
As a result, LMIRT’s unitholders are unlikely to receive DPU until such time as these perpetual securities distributions resume or the perpetual securities are redeemed.
