Fitch rates Nations Trust notes A-(lka)

Fitch Ratings said it assigned an expected national long-term rating of A-(lka) to Nations Trust Bank plc's proposed Basel II-compliant subordinated debentures of up to 5 billion in Sri Lankan rupee.

The outlook is stable.

The proposed debentures will mature in five years and carry fixed- and floating-coupons, Fitch said.

The proceeds will be used to support the bank’s tier 2 capital base, diversify its funding mix and reduce structural maturity mismatches, the agency said.

The proposed subordinated debentures are rated one notch below the bank's national long-term rating, reflecting the subordination to senior unsecured creditors, Fitch said.

The ratings also reflect the bank’s expanding franchise, improved efficiency and high and increasing exposure to products and customer segments that are more susceptible to economic cycles, the agency added.

© 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.