RATING RELEASE

Agusto & Co. affirms the ‘A+’ rating assigned to Coronation Merchant Bank Limited, with a stable outlook.

The rating expires on 30 June 2022.

Agusto & Co. affirms the ‘A+’ rating assigned to Coronation Merchant Bank Limited (‘Coronation MB’ or ‘the Bank’). The rating reflects the Bank’s good asset quality, good capitalisation, satisfactory profitability and experienced management team. Nonetheless, the rating is constrained by obligor concentration in the Bank’s loan book and a funding mix tilted largely to more expensive funding sources (typical of merchant banks in Nigeria). The fragile macroeconomic climate and prevailing industry risks also negatively impacts the Bank’s rating.