Rating Release
Agusto & Co. assigns a “Bbb-” rating and an ESG score of 2 to Lotus Bank Limited, attaches a stable outlook.
The rating expires on 30 June 2024.
Agusto & Co. hereby assigns a “Bbb-” credit rating to Lotus Bank Limited (“Lotus Bank” or “the Bank”), reflecting its good liquidity profile, good capitalisation, experienced management team and strong shareholders’ support as reflected by the additional ₦8.2 billion raised during the year under review. Offsetting these positive rating factors are the short operating history of the Bank, the rising level of impaired credit and the concentration in the financing book and funding base. The adverse impact of the prevailing macroeconomic headwinds on the operating climate was also considered. We have also assigned a ‘2’ ESG score which denotes that environmental, social and governance issues have minimal impact on the Bank’s credit risk.
