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06.11.2007
Credit-Rating assigns Ipobank`s upcoming issue uaBB+
Credit-Rating, a nationally recognized credit rating agency in Ukraine has today assigned UAH200m 5-year registered coupon bonds (A series) to be issued by Kiev-based Ipobank OJSC (`Bank`) a long-term credit rating of uaBB+ (uaBB plus). In the course of analysis Credit-Rating considered Bank`s financial statements for 2006-2007 as well as other inside information furnished by the Bank.
An obligor or a debt liability with uaBB credit rating is characterized with the LOWER THAN SUFFICIENT creditworthiness as compared to other Ukrainian obligors or debt liabilities. This level of creditworthiness is strongly affected by adverse changes in commercial, financial and economic conditions. The plus (+) or minus (-) modifier denotes rating`s relative status within major categories.
Factors maintaining the credit rating
- Bank`s lucrative performance since its foundation accompanied bi its adequate stock capitalization.
- Bank`s information explicitness and transparency.
Factors constraining the credit rating
- The Bank has operated during 9 months only, which, coupled with the absence of branch network, of card segment and low number of clients, and entailed by growing expansion of big systemic banks, hampers significantly the achievement of Bank`s strategic goals.
- Extremely high concentration of Bank`s loan portfolio, which may negatively affect Bank`s profitability in the event of difficulties with even insignificant number of loans.
- Extremely high concentration of Bank`s resource basis on primary counterparts, which increases risks for Bank`s liquidity.
- Bank`s risk management is currently infant requiring further enhancements.
Information on all credit ratings assigned in accordance with the Ukrainian national scale may be found in REUTERS, BLOOMBERG and FTN MONITOR information systems.
For further information, please contact:
Information and analytic department
Sergey Rozumyak +38 044 490 25 50
SRozumyak@credit-rating.com.ua
