S&P Global Ratings on May 29 lowered Qatar-based Al Khaleej Takaful Insurance Co. QPSC's long-term issuer credit and insurer financial strength ratings to BBB from BBB+, citing significant impairment losses on the value of its equity investments in 2017, which weakened its liquidity.
The outlook is negative.
The downgrade reflects the rating agency's view that Al Khaleej's financial performance has deteriorated due to both reported and unreported impairments on its equity investments that have weakened its liquidity.
The negative outlook reflects the possibility that S&P Global Ratings could lower the rating if its liquidity position further deteriorated from current levels.
This S&P Global Market Intelligence news article may contain information about credit ratings issued by S&P Global Ratings, a separately managed division of S&P Global. Descriptions in this news article were not prepared by S&P Global Ratings. The original S&P Global Ratings documents referred to in this news brief can be found here.
