Fitch ups Rosbank to A-

Fitch Ratings said it upgraded Rosbank's long-term foreign-currency and local-currency issuer default rating to A- from BB-, short-term issuer default rating to F2 from B, support rating to 1 from 4 and national long-term rating to AAA(rus) from A+(rus). The individual rating is affirmed at C/D and the support rating floor of B is withdrawn. The ratings were removed from Rating Watch positive, where they were placed in October 2006.

A stable outlook is assigned.

The action follows news that Societe Generale has exercised its call option for 30% plus two shares, thereby increasing its overall ownership in Rosbank to 50% plus one share. According to Russian legislation, Societe Generale will launch a mandatory offer to minority shareholders and may increase its stake in Rosbank up to 57.8%.

The ratings reflect Fitch's view that there is a high probability of support from Societe Generale for Rosbank in case of need.

Fitch said any negative movement in Societe Generale's ratings would likely negatively impact the ratings of Rosbank.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.