Fitch: Nova Kreditna on watch

Fitch Ratings said it placed Nova Kreditna Banka Maribor's A- long-term issuer default rating on Rating Watch negative.

The negative watch reflects the significant probability the Slovenian authorities will not ultimately participate in the bank's ongoing share issue on the Warsaw Stock Exchange, Fitch said.

As a result, the government's current majority stake of 51% could fall to a minority holding, possibly as low as 34%, the agency said.

The current ratings are driven by the extremely high probability of support for the bank, in case of need, from the Slovenian authorities, given the bank's majority government ownership and high systemic importance, Fitch said.

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