Research Update: BAC International Bank Inc. Upgraded To 'BBB-/A-3' From 'BB+/B' Following Spin-Off From Banco de Bogota, Outlook Stable

On March 31, 2022, BAC International Bank Inc. (BIB) announced that its 75% spin-off from Banco de Bogota's (BBogota; BB+/Stable/B)ownership was completed after regulatory approvals and legal procedures were finalized. The bank's parent company, BAC Holding International Corp. (BHI, formerly Leasing Bogotá Panamá S.A.), is now listed on the Colombian and Panamanian stock exchanges and is held by Grupo Aval's ultimate shareholders. BBogota owns the remaining 25% equity. BIB is no longer a subsidiary of BBogota, so our ratings on BIB will now reflect the level of its stand-alone credit profile (SACP), which is 'bbb-'. As a result, S&P Global Ratings raised its long- and short-term issuer credit ratings on the bank to 'BBB-' from 'BB+' and 'A-3' from 'B',

...- On March 31, 2022, BAC International Bank Inc. (BIB) announced that its 75% spin-off from Banco de Bogota's (BBogota; ##+/Stable/B)ownership was completed after regulatory approvals and legal procedures were finalized. - The bank's parent company, BAC Holding International Corp. (BHI, formerly Leasing Bogotß Panamß S.A.), is now listed on the Colombian and Panamanian stock exchanges and is held by Grupo Aval's ultimate shareholders. BBogota owns the remaining 25% equity. - BIB is no longer a subsidiary of BBogota, so our ratings on BIB will now reflect the level of its stand-alone credit profile (SACP), which is '###-'. - As a result, S&P Global Ratings raised its long- and short-term issuer credit ratings on the bank to '###-' from '##+' and 'A-3' from 'B', respectively, and removed the ratings from CreditWatch with positive implications. - The stable outlook for the next 12-24 months reflects our expectation that BIB will maintain its business resilience supported by its solid market...

Research Update