RATING ACTION:
On June 28, 2024, CariCRIS upgraded by one-notch the assigned issue ratings to CariAA+ (Foreign and Local Currency Ratings) on the regional rating scale and reaffirmed the Jamaica national scale ratings of jmAAA (Foreign and Local Currency Ratings) to the debt issue of up to US $76 million of Sagicor Financial Company Limited (SFC or the Company). A stable outlook was assigned.
RATING SENSITIVITY FACTORS:
Factors that could, individually or collectively, lead to an improvement in the ratings and /or outlook include:
- Substantial improvement in the market position and financial performance and profitability of Sagicor Canada and Sagicor Jamaica
- Successful acquisitions and/or regional expansion over the next 12 to 15 months with a concomitant material improvement in any of its main segments’ market share and SFC’s overall financial performance
Factors that could, individually or collectively, lead to a lowering of the ratings/or outlook include:
- A significant change in capitalization, especially on account of future acquisitions resulting in the MCCSR falling to 175% or lower
- Substantial deterioration in consolidated financial performance, with a greater than 40% fall in total income
- Decrease in Interest Coverage to <1.5X
- A reduction in the creditworthiness of Jamaica where SFC derives more than 30% of its net insurance and investment result
Analysts’ Contact Info:
Anelia Oudit
Mobile : 1-868-487-8364
[email protected]
Jeffrey James
Mobile : 1-868-713-5987
[email protected]
www.caricris.com
[email protected]
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