...Parental Support Drives IDRs: Turk Ekonomi Bankasi A.S.s (TEB) IDRs and National and Support Ratings reflect Fitch Ratings view that it is highly likely the bank would be supported by BNP Paribas (BNPP; A+/Stable/a+) if needed. BNPP and Colakoglu Group, a Turkish conglomerate, jointly control TEB Holding, which holds a 55% stake in TEB. Separately, BNPP holds an additional 41% stake in the bank. Strategically Important Subsidiary: Fitch views TEB as a strategically important subsidiary for BNPP. In assessing support, Fitch views positively the close technical and managerial integration between the two banks. Also, BNPP has demonstrated support through capital injections (together with Colakoglu Group) and the provision of funding. Margins Lower than Peers': TEBs net interest margins are weaker than peers and are mainly a reflection of the banks lower risk appetite, evidenced by its good underwriting and asset quality ratios. In addition, margins can be affected by lower earnings from securities...
