Fitch rates Banco BBM BB+/BBB-

Fitch Ratings said it assigned a long-term foreign currency issuer default rating of BB+, long-term local currency issuer default rating of BBB- and long-term national rating of AAA(bra) to Banco BBM SA.

The long-term issuer default ratings are assigned a negative outlook, while the long-term national rating is assigned a stable outlook.

The agency also assigned a support rating of 3 and viability rating of bb-.

Fitch said the issuer default ratings and national ratings are driven by expected support from the Bank of Communications Co, Ltd. (long-term foreign currency issuer default rating A/stable, viability rating bb-), which owns 80% of BBM.

BBM's long-term foreign currency issuer default rating is constrained by Brazil's country ceiling of BB+, while its long-term local currency issuer default rating is two notches above Brazil's long-term rating (long-term foreign currency, local currency issuer default ratings BB+/negative), which is the maximum uplift Fitch applies to Brazilian financial institutions owned by strong foreign shareholders, the agency explained.

The negative outlook mirror the outlook on the sovereign ratings.

© 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.