Moody's may downgrade Standard Bank Argentina

Moody's Investors Service said that it is continuing its review for possible downgrade on the ratings of Standard Bank Argentina SA.

The ratings under review include the bank's Ba1 global local-currency deposit and senior unsecured debt ratings.

The agency also is continuing its review of the bank's Aaa.ar national scale local-currency deposit and debt ratings.

The review began in August following news of the acquisition of majority control of the bank by Industrial and Commercial Bank of China Ltd. from Standard Bank of South Africa.

The review is based on the announced change of ownership and control of the bank, Moody's said, and uncertainties regarding the ultimate strategy and growth plans and probability of financial support from the new owner, the agency said.

The transaction also has execution and implementation risks in light of the acquiring bank's relative lack of experience in the Argentinean market, Moody's added.

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