Agusto & Co. affirms the ‘A-’ rating assigned to Union Bank of Nigeria Plc’s ₦13.5 billion combined Series 1 and Series 2

Agusto & Co. affirms the ‘A-’ rating assigned to Union Bank of Nigeria Plc’s ₦13.5 billion combined Series 1 and Series 2

RATING RELEASE

Agusto & Co. affirms the ‘A-’ rating assigned to Union Bank of Nigeria Plc’s ₦13.5 billion combined Series 1 and Series 2 Senior Unsecured Bond Issurance, with h a stable outlook.

The rating expires on 30 June 2022.

Agusto & Co. hereby affirms the ‘A-’ rating assigned to the combined Series 1 (3- year) 15.5% and Series 2 (7-year) 15.75% senior unsecured bond issuance (“the Issue” or “the Bond”) by Union Bank of Nigeria Plc (“UBN”, “the Issuer” or “the Bank”). The rating mirrors the standalone “A-” credit rating assigned to UBN by Agusto & Co. Limited. The rating assigned reflects the Issuer’s good domestic franchise value, adequate capitalisation, good liquidity profile and experienced management team. Constraining the rating are lingering asset quality issues, subpar profitability and the impact of the weak economic recovery and unfavourable regulations.

This Rating Release is transmitted to you for the sole purpose of dissemination through your newspaper / magazine / agency. The rating release may be used by you in full or in part without changing the meaning or context thereof but with due credit to Agusto & Co.

Finance & Leasing

COMPANY RATING EXPIRY OUTLOOK COUNTRY
Credit Direct Limited Bbb Jun 30 , 2022 Stable Nigeria
Citihomes Finance Company Limited SR3 Jul 05 , 2022 N/A Nigeria
WSTC Financial Services Limited Bbb+ Mar 31 , 2022 Stable Nigeria

Corporates

COMPANY RATING EXPIRY OUTLOOK COUNTRY
Axxela Limited A- Jun 30 , 2022 Stable Nigeria
Kawai Technologies Limited Bb Jun 30 , 2022 Neutral Nigeria