Fitch Rates Access Bank's Tier 2 Subordinated Debt Final 'A(nga)'

Proshare

Friday, September 20, 2019 / 10:43AM / By Fitch Ratings / Header Image Credit/: Access Bank


Fitch Ratings has assigned Access Bank Plc's (Access: B/Stable) issue of NGN30 billion Tier 2 subordinated bonds a final National Long-Term Rating of 'A(nga)'.

The assignment of a final rating follows the receipt of final documents conforming to information already received. The final rating is in line with the expected rating assigned on 6 June 2019.

 

Key Rating Drivers

The seven-year 15.5% fixed rate Nigerian naira bonds represent a subordinated unsecured obligation of Access and rank pari passu with the claims of all other subordinated debt. There are no contractual going-concern features such as coupon deferral/omission and write-down or conversion ahead of non-viability.

The bonds are rated one notch below Access's 'A+(nga)' National Long-Term Rating. This reflects higher loss-severity relative to senior unsecured instruments, which is due to their subordinated status. No additional notching has been ascribed for non-performance risk, as Fitch regards this to be minimal relative to that captured in Access's National Long-Term Rating.

 

Rating Sensitivities

The bonds' ratings are sensitive to changes in Access's National Long-Term Rating, which reflects the bank's creditworthiness relative to other Nigerian issuers.

 

ESG Considerations

Unless otherwise disclosed in this section, the highest level of ESG credit relevance is a score of 3. ESG issues are credit-neutral or have only a minimal credit impact on the entity, either due to their nature or to the way in which they are being managed by the entity.

 

Proshare Nigeria Pvt. Ltd.


Related News

1.       Access Bank Plc To Issue N30bn 15.5% Tier 2 Bond

2.      Access Bank Plc - NIM Improvement Supports Earnings

3.      Access Bank To Submit H1 2019 Audited Financial Statements By Sept 15, 2019

4.      Moody's - Access Bank To Pay off $200m Bond Issued By Diamond

5.      Access Bank Rebutes Acquisition Talks With Union Bank of Nigeria

6.      Access Bank 'B and B' Ratings Affirmed; Outlook Stable

7.      Access Bank vs Japaul Plc : FHC Judgment On Mareva Order And Jurisdiction

8.     Japaul Plc’s Access Bank Burden: Excessive Charges Unhinge Relationship As FHC Vacates Mareva Order

9.      Access Bank Lists Pioneer N15bn Nigerian Green Bond At FMDQ OTC

10.  Creating One of Africa’s Leading Retail Banks - Launch of the New Access Bank Brand

11.   Access Bank Ratings Affirmed; Outlook Stable; Diamond Bank Ratings Discontinued On Effective Merger

 

Proshare Nigeria Pvt. Ltd.

Proshare Nigeria Pvt. Ltd.
READ MORE:
Related News
SCROLL TO TOP