Kroll Bond RatingAgency on July 22 affirmed a number of ratingsfor F.N.B. Corp., in lightof its pending acquisitionof Yadkin Financial Corp.
Affirmed werethe company's senior unsecured debt rating of BBB+ and short-term rating of K2.The outlook on all ratings is stable.
The rating agencypointed out that while there is elevated integration risk due to Yadkin being outof F.N.B.'s footprint and beyond the Pittsburgh-based company's contiguous markets,F.N.B. does have a good track record of successfully expanding into new marketsand acquiring out-of-footprint institutions. Kroll also expects that pro forma tangiblecommon equity will see some moderate strengthening following the close of the due to the nature of theconsideration.
In addition,the rating agency sees the transaction being neutral to F.N.B.'s ratings in theshort-term, with the deal being a potential net positive over time as it providesF.N.B. with the opportunity to diversify its operations into markets that are botheconomically vibrant and fast-growing.