Agusto & Co. affirms the ‘A+’ rating assigned to Access Bank Plc.’s ₦30 billion 7-year 15.5% Fixed Rate Subordinated Unsecured Notes, with a stable outlook.
The rating expires on 30 June 2022.
Agusto & Co. hereby affirms the “A+” rating assigned to Access Bank Plc.’s (“Access Bank”, the Issuer” or “the Bank”) ₦30 billion 7-year 15.5% Fixed Rate Subordinated Unsecured Notes (“the Issue” or “the Bond”) due in 2026. The rating is a notch lower than Access Bank’s standalone “Aa-” rating issued by Agusto & Co. Limited. The Bond is subordinated to other senior debt of the Bank and it is adjudged to offer adequate safety of timely payment of interest and principal.
The rating assigned to the Issuer reflects its status as one of Nigeria’s largest banks, a stable and experienced management team, improving asset quality profile due to significant write-offs and good refinancing capacity buoyed by a strong domestic franchise. However, the rating assigned is constrained by the harsh regulatory environment, the lingering COVID-19 pandemic and the slowly recovering macro economy.