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.