Fitch Affirms Sohar International’s ratings at ‘BB’

Fitch Affirms Sohar International’s ratings at ‘BB’

Muscat – Fitch Ratings has affirmed Sohar International Bank’s Long-Term Issuer Default Ratings (IDRs) at ‘BB’ with a stable outlook. Fitch has also upgraded Sohar International’s Viability Rating (VR) to ‘bb’ from ‘bb-‘ and removed it from Rating Watch Positive (RWP). The upgrade of Sohar International’s Viability Rating reflects the positive impact on its credit […]Muscat – Fitch Ratings has affirmed Sohar International Bank’s Long-Term Issuer Default Ratings (IDRs) at ‘BB’ with a stable outlook. Fitch has also upgraded Sohar International’s Viability Rating (VR) to ‘bb’ from ‘bb-‘ and removed it from Rating Watch Positive (RWP).

The upgrade of Sohar International’s Viability Rating reflects the positive impact on its credit profile from its merger with HSBC Bank Oman, Fitch said in its rating action statement.

HSBC Bank Oman was dissolved, and all of its assets and liabilities were transferred to Sohar International on August 17, 2023.

Fitch has upgraded Sohar International’s Long-Term IDR (xgs) to ‘BB(xgs)’ from ‘BB-(xgs)’ in line with the VR upgrade, affirmed its Short-Term IDR (xgs) at ‘B(xgs)’, and withdrawn both ratings, as they are no longer considered relevant to the agency’s coverage.

The rating agency mentioned that Sohar International’s Long-Term IDR is driven by its ‘bb’ VR and underpinned by