Oct 2023 Financial News

Fitch Upgrades Sagicor Financial Company Following Ivari Acquisition

Oct 09, 2023

Fitch Ratings - New York - 04 Oct 2023: Fitch Ratings has removed Sagicor FinancialCompany Ltd (SFC) from Rating Watch Positive and upgraded the Long-Term Issuer DefaultRating (IDR) to 'BBB-' from 'BB'. Fitch has also upgraded the senior unsecured debt to 'BB+'from 'BB-'. The Rating Outlook is Stable.

The upgrade follows SFC's announcement that it has received all regulatory approvalsrequired to complete the agreement with Wilton Re Ltd. to acquire Ivari. Fitch views theacquisition favorably, as it results in a material positive shift toward investment-gradeforeign jurisdictions, a stronger company profi le, competitive positioning, operating scale,and business mix.

Additionally, SFC's investment and asset risk will lessen due to an increased proportion ofinvestment-grade assets, resulting in a reduction of the risky asset ratio. However, SFC'srisky asset ratio will still remain elevated relative to the
industry. The rating continues torefl ect SFC's strong capitalization levels and solid operating performance.

Source:
Fitch Ratings
Monday 9th October, 2023