Corporacion Financiera de Desarrollo's Proposed Senior Unsecured Notes Rated 'BBB-'

MEXICO CITY (S&P Global Ratings) April 11, 2024--S&P Global Ratings today assigned its 'BBB-' issue rating to Corporacion Financiera de Desarrollo's (COFIDE) proposed senior unsecured notes for up to $300 million with a tenor of five years, subject to market conditions. The 'BBB-' rating on the proposed senior unsecured notes is at the same level as the issuer credit rating on COFIDE (BBB-/Stable/A-3) given the notes' seniority. The new notes would represent about 13% of the bank's total funding base. The bank will use most of the proceeds to repay its outstanding 5.250% fixed-to-floating rate subordinated notes due 2029 with call options starting in July 2024. It intends to use a small part of the proceeds from the new offering

...April 11, 2024 MEXICO CITY (S&P Global Ratings) April 11, 2024--S&P Global Ratings today assigned its '###-' issue rating to Corporacion Financiera de Desarrollo's (COFIDE) proposed senior unsecured notes for up to $300 million with a tenor of five years, subject to market conditions. The '###-' rating on the proposed senior unsecured notes is at the same level as the issuer credit rating on COFIDE (###-/Stable/A-3) given the notes' seniority. The new notes would represent about 13% of the bank's total funding base. The bank will use most of the proceeds to repay its outstanding 5.250% fixed-to-floating rate subordinated notes due 2029 with call options starting in July 2024. It intends to use a small part of the proceeds from the new offering to support credit growth in eligible social projects following COFIDE's thematic financing framework. The proposed issuance does not change our view of the bank's creditworthiness. We expect the proposed debt refinancing will lower financial costs...

Ratings Action