Moody's affirms Oversea-Chinese Banking

Moody's Investors Service said it affirmed Oversea-Chinese Banking Corp.'s prime-1 deposit rating at Aa1, bank financial strength rating at B, subordinated and junior subordinated debt at Aa2 and preference shares at Aa3 after it decided to purchase ING Asia Private Bank and its affiliates for $1.46 billion.

The outlook on the bank financial strength and long-term ratings remains negative. Its short-term ratings remain stable.

The ratings reflect the expectation that the bank's financial fundamentals would remain robust after the acquisition, Moody's said, as well as the potential for improved business diversification and higher fee income.

It also recognizes the challenges associated with managing ING Asia, the agency said.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.