S&P Global Ratings on Feb. 1 affirmed J. Malucelli Seguradora SA's and J. Malucelli Resseguradora SA's national ratings at brA with a negative outlook.

Following a similar action on controlling shareholder Paraná Banco SA, S&P also removed its negative CreditWatch on the companies' ratings.

"In our opinion, JMalucelli is part of Paraná Banco's business and we believe that its capitalization level can be affected immediately if the bank faces an adverse scenario," S&P said.

Consequently, JMalucelli Seguradora's and JMalucelli Resseguradora's ratings are tied to the bank's ratings, S&P noted.

S&P Global Ratings and S&P Global Market Intelligence are owned by S&P Global Inc.