Lucror Says Negative on Lippo Karawaci Due to Liquidity Risk

(Bloomberg) -- Lucror notes that there is significant uncertainty around Lippo Karawaci's short-term liquidity after the company posted very weak first-quarter results, according to senior credit analyst Trung Nguyen in a note.
* NOTE: Lippo Karawaci said in filing on Thursday Q1 net income fell 7%
* Credit bias remains negative given Lippo’s financial profile: Lucror
* Lippo’s cash of 1.87t rupiah cannot cover short-term debt of 2.13t rupiah: Lucror
* “In our view, Lippo Karawaci’s operations remained very depressed with extremely fast cash burn rate”
* “Company will be reliant on assets sales that are subject to delays and market conditions”
* NOTE: Lippo Karawaci said Thursday unit will issue $75m senior notes

 

June 1, 2018, 04:32:10.709 GMT

By Denise Wee; Edited by Andrew Monahan and Ken McCallum