Skye Bank Ratings Suspended Due To Lack of Sufficient Information


Wednesday, December 07, 2016 9:40 AM /S & P Global Ratings

  • We are suspending the ratings on Skye Bank due to a lack of sufficient, reliable, and timely information. 
  • The suspension is for up to 90 days, pending the receipt of further information. 

Global Ratings today suspended its counterparty credit ratings on Skye Bank PLC. 

At the time of the suspension, the global and local scale ratings on Skye Bank were 'CCC-/C' and 'ngCCC-/ngC' and these ratings were on CreditWatch negative. 

The suspension is based on a lack of sufficient, timely, and reliable information to maintain our ratings on Skye Bank.  

At mid-year 2016, the bank breached some regulatory ratios, including the minimum capital adequacy and liquidity ratios, which led the Central Bank of Nigeria to intervene, suspending the bank's board of directors and changing its top management on July 4, 2016.  

Since then, the quality, quantity, and timeliness of information that we have received from the bank has fallen short of our requirements, resulting in our decision to suspend the ratings.  

At the time of suspension, we understand from our interaction with the bank's management that Skye Bank has been making timely payments on funding facilities and deposits both in U.S. dollars and Nigerian naira.  

We also understand that the bank has restructured some off-balance-sheet trade-related facilities under mutually agreed conditions with creditors. 

We expect to be able to resolve the suspension within the next 90 days, subject to receiving the necessary information from the bank. If the information is not received within that timeframe, we will withdraw our ratings. 


Related News

1.       Skye Bank Plc Receives Regulatory Approval to Postpone AGM

2.      Skye Bank is Neither Distressed Nor Liquidated - CBN

3.      Skye Bank Plc Appoints Babatunde Osibodu as General Counsel

4.      Tracking Skye bank's Share Price: 25days After

5.      Skye Bank Plc Seeks Extension to file its Interim Financial Statements for Q1 and Q2 2016

6.      Skye Bank Plc Reports Q4 2015 Results; Further Deterioration Expected in Q1 and Q2

7.      SKYEBANK Declares N40.73bn Loss in 2015 Audited Results SP N0.70k

8.       Tracking Skye bank’s Share Price: 15days After

9.      Tracking Skye bank’s Share Price: 10days After

10.  CBN Affirms Confidence in Skye Bank, Institutes Guarantee Line

11.   Tracking Skye bank's Share Price: 5days After

12.  Nigeria's Skye Bank Downgraded To 'CCC-' On Heightened Default Risk

13.  Nigeria s Central Bank Takes Over Skye Bank - Sacks Board Over Capital Issues

14.  Expectedly, S&P rates Skyebank a CCC+ on back of Economic & Liquidity Concerns

15.   Skyebank and The Prolonged Delay on Earnings Announcement

16.  Why investors should expect a contained earning from Skye Bank

17.   The Surprising New Math of Acquisition of Banks in Nigeria – The Skye Bank Case

18.  Reworking the Acquisition Maths of Mainstreet Bank by Skye Bank Plc

19.  CBN Reduces maximum limit of FX borrowing to 75% of Capital

20. Skye Bank Plc and AMCON Sign Agreement on Acquisition .- Proshare 

21.  Skye Bank - The Math Adds Up says CBN, Acquisition Payment of Mainstreet Bank Done – Nov 01, 2014

22. SKYEBANK Seeks Four-Week Extension to File its 2015 Audited Financial Statement

23. SKYEBANK Issues Earnings Guidance for Financial Year Ended 31st December 2015

24. All eyes still on Skye Bank s capital raise

25.  How to buy a Nigerian bank with no money 


Related News