Marex Spectron And Marex Financial Outlooks Revised To Negative Due To Pressure On Capital And Risk; Ratings Affirmed

Global commodities broker Marex Spectron Group Ltd. (Marex) has seen a deterioration in group capital following recent mergers and acquisitions and a material legal provision in 2018. This is alongside an increase in its risk appetite above historically very conservative levels. We are therefore revising our outlooks on nonoperating holding company Marex and the main operating holding company Marex Financial Ltd. to negative from stable. We are affirming our 'BBB-' long-term and 'A-3' short-term issuer credit ratings on Marex, and our 'BBB' long- and 'A-2' short-term issuer credit ratings on Marex Financial. The negative outlooks reflect our view that there is an increased probability that the group will be unable to restore its capitalization, and that Marex's increasing risk appetite,

...June 24, 2019 - Global commodities broker Marex Spectron Group Ltd. (Marex) has seen a deterioration in group capital following recent mergers and acquisitions and a material legal provision in 2018. This is alongside an increase in its risk appetite above historically very conservative levels. - We are therefore revising our outlooks on nonoperating holding company Marex and the main operating holding company Marex Financial Ltd. to negative from stable. - We are affirming our '###-' long-term and 'A-3' short-term issuer credit ratings on Marex, and our '###' long- and 'A-2' short-term issuer credit ratings on Marex Financial. - The negative outlooks reflect our view that there is an increased probability that the group will be unable to restore its capitalization, and that Marex's increasing risk appetite, albeit from a low level, may further hamper our aggregate view of the ratings. LONDON (S&P Global Ratings) June 24, 2019--S&P Global Ratings said today that it revised its outlook to...

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