Wednesday, February 22, 2012

Lippo Malls Indonesia Retail Trust rated 'increase exposure' by SIAS

SIAS Research in a Feb 20 research report says: "LMIRT ended the year with top line within expectation with gross revenue of $136.1 million and NPI of $92.0 million.

"Fair value gains for LMIRT was below our estimates but foreign currency translation gains compensated for this, ending the year with comprehensive income more than doubling prior year's result (2010: $55.3 million vs 2011: $110.8 million). LMIRT's two new acquisitions, Pluit Village and Plaza Medan Fair, had begun producing maiden inflows since they were acquired on Dec 6, 2011.

"LMIRT remains a relatively undervalued counter with a relatively large discount on this counter with a discount to NAV of 35% (over last closing price of 39 cents), and yielding an adjusted average DPU yield of 7.5% for FY 2011. Intrinsic value of 61 cents. MAINTAIN INCREASE EXPOSURE."

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