Karachi, May 23, 2022: VIS Credit Rating Company Limited (VIS) has maintained the entity ratings of Samba Bank Limited (‘SBL’ or ‘the Bank’) at ‘AA/A-1’ (Double A/A-One). Outlook on the assigned ratings has been revised from ‘Rating Watch - Developing’ to ‘Positive’. The long term rating of ‘AA’ signifies high credit quality; protection factors are strong. Risk is modest but may vary slightly from time to time because of economic conditions. The short term rating of ‘A-1’ signifies high certainty of timely payment; liquidity factors are excellent and supported by good fundamental protection factors. Risk factors are minor. Previous rating action was announced on October 07, 2021.
The revision in outlook incorporates recent disclosure made by the Bank, wherein Saudi National Bank (SNB), as the immediate parent company of Samba Bank Limited has notified that, following completion of due diligence and an exploration for the sale of its shares in Samba Bank Ltd., SNB are terminating the process for the sale of SNB's equity stake in Samba Bank Ltd. The process has been terminated due to the considerable uncertainty in current market conditions.