JCR-VIS Credit Rating Company Limited has assigned a 'preliminary' medium to long term rating of 'AA-' (Double A Minus) with a 'Stable' outlook to the proposed issue of unsecured, subordinated and listed term finance certificates (TFCs) of Faysal Bank Limited (FBL).
JCR-VIS has also reaffirmed the entity ratings at AA/ A-1+ with a 'Stable' outlook.
The assigned ratings incorporate the bank's strong capitalisation. The proposed issue of TFCs amounting Rs 1 billion (and a green shoe option of Rs 250 million) with a tenor of seven years will further contribute towards the bank's eligible capital. FBL has grown rapidly over the last few years and has gradually shifted its focus to core banking assets during this period.
The preliminary rating of the issue will be finalised after examination of all signed legal documents.-PR