Fitch Ratings on June 5 revised to stable from positive the outlook on the BB+ long-term foreign-currency issuer default ratings of Turkey's DenizBank AS and units Deniz Finansal Kiralama AS and JSC DenizBank Moscow.
The banks' B short-term foreign-currency issuer default ratings and 3 support ratings were affirmed, and their BB+/B long- and short-term local-currency issuer default ratings were placed on Rating Watch Positive. The AA(tur) national long-term ratings of Denizbank and Deniz Finansal Kiralama were also placed on Rating Watch Positive. Denizbank's "bb" viability rating, which is on Rating Watch Negative, was unaffected.
At the same time, Fitch affirmed the long- and short-term issuer default ratings of Dubai-based Emirates NBD Bank PJSC at A+/F1, with a stable outlook on the long-term rating. The bank's 1 support rating, "bb+" viability rating, A+ support rating floor and A+/F1 long- and short-term senior unsecured ratings were also affirmed.
The ratings actions came after Emirates NBD agreed to acquire 99.85% of DenizBank from PAO Sberbank of Russia.
Fitch believes that following the completion of the deal, Denizbank will receive support from its new parent in case of need.
