Fitch affirms Virgin Money

Fitch Ratings said it affirmed the long-term issuer default ratings of Virgin Money plc and its parent Virgin Money Holdings (UK) plc at BBB+ with stable outlooks.

The agency also affirmed the entities' viability ratings at bbb+.

CYBG plc (BBB+/stable) is proposing an all-share takeover of Virgin Money. The takeover is expected to be completed in the fourth quarter and remains subject to regulatory and shareholder approval.

“VMH's and VM's issuer default ratings, VRs and senior debt ratings reflect the bank's low risk profile, healthy asset quality, average profitability compared with peers', as well as adequate liquidity and capitalisation in relation to the bank's risk profile,” Fitch said in a news release.

“The issuer default ratings and VRs also capture a modest franchise, undiversified business model and execution risks associated with the planned acquisition of VMH.”

© 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.