Fitch assigns BCP senior notes a final rating of 'BBB+'

14:00 | New York (U.S.), Sep. 17.

Fitch Ratings has assigned 'BBB+' final long-term ratings to Banco de Credito del Peru S.A.'s (BCP) senior unsecured fixed-rate notes.

The credit rating agency noted the final ratings follow a review of the final terms and conditions conforming to information already received when Fitch assigned the expected ratings on August 28.

"The net proceeds of these senior notes will be used for liability management, in order to replace current bonds and for general corporate purposes. The settlement amount paid to the investors will be denominated in U.S. dollars," it expressed.

Key rating drivers

According to Fitch, the final rating assigned to BCP's new issuances corresponds to the company's Issuer Default Ratings (IDRs), as the notes are senior unsecured obligations that will rank pari passu in right of payment with all of the bank's existing and future senior unsecured indebtedness. 

BCP's IDRs are driven by its Viability Rating (VR) of 'bbb+'.

It went on to add the bank's ratings are highly influenced by the operating environment and its leading franchise and well diversified business model.

“BCP's VR also reflects its solid asset quality, ample reserves, consistent financial performance, as well as its ample and diversified funding base. Capital metrics are good, although they were somewhat pressured by recent loan growth,” it said.

Rating sensitivities

A change in BCP's IDRs could trigger a change in the rating of the entity's issues rating.

Fitch currently rates BCP as follows:

--Long-Term Foreign and Local Currency IDR 'BBB+' with Outlook Stable
--Short-Term Foreign and Local Currency IDR 'F2'
--Viability rating 'bbb+'
--Support Rating '2'
--Support Rating Floor 'BBB'
--Senior unsecured debt 'BBB+'
--Subordinated debt 'BBB'
--Junior Subordinated debt 'BB-'

Editor's note: Based on information provided by Fitch Ratings.


Published: 9/17/2019
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