Press Release

JCR-VIS finalizes rating of Basel 3 Tier 1 instrument by Bank Alfalah Limited

Karachi, January 17, 2018: Upon review of signed legal documents, JCR-VIS Credit Rating Company Limited has finalized the rating of ‘AA-’ (Double A Minus) assigned to Bank Alfalah Limited’s (BAFL) Basel 3 Tier-1 debt instrument. Outlook on the assigned rating is ‘Stable’. The previous rating action was announced on 08th November 2017.

BAFL is in the process of issuing a listed, perpetual, unsecured, subordinated, non-cumulative and contingent convertible debt instruments amounting up to Rs. 7.0b (inclusive of Green Shoe Option of Rs. 2.0b). The bank has already raised Rs. 6.3b in the pre-IPO phase with the remaining planned to be raised through IPO. The issue proceeds will contribute towards the bank’s additional Tier-1 capital and will be utilized towards enhancement of the bank’s business operations. BAFL’s tier-1 instrument will rank ahead of claims of ordinary shareholders but below the bank's senior creditors, including depositors and holders of Tier 2 TFC.

For further information on this rating announcement, please contact the undersigned (Ext: 207) or Mr. Javed Callea (Ext: 201) at 35311861-70 (10 lines) or fax to 35311873.




Jamal Abbas Zaidi
Advisor

Applicable Rating Criteria: PRIMER – Commercial Banks (November 2015)
http://jcrvis.com.pk/Images/Meth-CommercialBanks201511.pdf

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