S&P might lower Sagicor

S&P said it placed on CreditWatch negative its BB- issuer credit ratings on Sagicor Financial Corp. and on Sagicor Finance (2015) Ltd., as well as the BB- issue-level rating on the $320 million senior notes due 2022.

Barbados' government recently suspended payments on its external debt and announced it would strive to meet its interest payment obligations on its domestic debt, the agency explained.

The government will likely enter into negotiations with domestic and foreign investors to roll over its principal maturities and restructure its defaulted bonds, S&P said.

“Although we don't expect a significant impact on the Sagicor group's capitalization, the default's implications could hurt its adequate capital score as per our risk-based capital model,” S&P said in a news release.

© 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.