Bangkok--2 Feb--Fitch Ratings
Fitch Ratings (Thailand) has assigned a National Short-Term rating of ‘F1+(tha) to Krung Thai Bank Public Company Limited’s (KTB; National Long-Term Rating: ‘AA+(tha)’/Outlook Stable) unsecured, unsubordinated short-term debenture programme of up to THB30bn with a maturity of no more than 270 days to be issued in several tranches within 12 months of filing of documents. The proceeds will be used for general banking purposes.
KTB’s ratings are primarily based on government ownership, control and support. KTB is Thailand’s second-largest bank with about 17% market share in assets as of end-December 2011. Its major shareholder, with a 55% stake, is Financial Institutions Development Fund, a unit under the Bank of Thailand. Notwithstanding the current ownership stake, Fitch believes there is a high probability that KTB would receive state support if needed, due to its size and importance to the financial system and economy.
Contacts:
Primary Analyst
Patchara Sarayudh
Associate Director
+66 2655 4761
Fitch Ratings (Thailand) Limited
Wave Place 13th Fl., Wireless Road, Lumpini, Patumwan
Bangkok 10330
Secondary Analyst
Narumol Charnchanavivat
Director
+66 2655 4763
Committee Chairperson
Jonathan Cornish
Managing Director
+852 2263 9901
Note to Editors: Fitch’s National ratings provide a relative measure of creditworthiness for rated entities in countries with relatively low international sovereign ratings and where there is demand for such ratings. The best risk within a country is rated ‘AAA’ and other credits are rated only relative to this risk. National ratings are designed for use mainly by local investors in local markets and are signified by the addition of an identifier for the country concerned, such as ‘AAA(tha)’ for National ratings in Thailand. Specific letter grades are not therefore internationally comparable.
Additional information is available at www.fitchratings.com. The ratings above were solicited by, or on behalf of, the issuer, and therefore, Fitch has been compensated for the provision of the ratings.
Applicable criteria, "Global Financial Institutions Criteria", dated 16 August 2011 and “National Ratings Criteria”, dated 19 January 2011, are available at www.fitchratings.com.
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