S&P Global Ratings on Dec. 11 downgraded Grupo de Inversiones Suramericana SA's long-term corporate credit rating to BBB- from BBB, with a stable outlook.
The move follows a downgrade by the rating agency to Colombia's long-term foreign currency sovereign credit rating to BBB- from BBB, with a stable outlook, noting weaker-than-expected growth in 2017 and reliance on one-off revenues that highlight the challenges the government faces to gradually reduce its deficits.
S&P believes Grupo Sura will be unable to overcome a sovereign default stress test scenario, and if a sovereign default does occur, Grupo Sura would have a high likelihood of defaulting as well.
S&P Global Ratings and S&P Global Market Intelligence are owned by S&P Global Inc.
