Rating Release
Agusto & Co. hereby assigns a ‘Bb+’ rating to Cooperative Mortgage Bank Limited, with a stable outlook.
The rating expires on 30 June 2022.
Agusto & Co. hereby assigns a ‘Bb+’ rating to Cooperative Mortgage Bank Limited (“CMB” or “the Bank”). The rating reflects the Bank’s adequate capitalisation, low leverage, experienced management team and low nonperforming loan (NPL) ratio. The rating is, however, constrained by the weak funding and liquidity profile, low profitability and significant concentrations in ownership and the loan portfolio. The adverse impact of the COVID-19 pandemic on the general level of economic activities in Nigeria and around the world has also been considered.
CMB is a state primary mortgage bank that is domiciled in Oyo State, with contact centres located in 11 other states of the country. The Bank is involved in the origination and servicing of residential mortgages and the provision of construction finance to real estate developers.
