Himalayan Re Credit Ratings Under Review With Positive Implications - AM Best

KUALA LUMPUR, March 2 (Bernama) -- United States-headquartered global credit rating agency, AM Best has placed under review with positive implications the Financial Strength Rating of B (Fair) and the Long-Term Issuer Credit Rating of “bb+” (Fair) of Nepal’s Himalayan Reinsurance Limited (Himalayan Re).

The Credit Ratings (ratings) of Himalayan Re have been placed under review with positive implications because of AM Best’s expectation that the company will complete a public listing over the near term.

The under review with positive implications status reflects the anticipated improvement in the company’s balance sheet strength assessment associated with successful capital raising.

In addition to improved financial flexibility, shareholders’ equity is expected to more than double following the successful completion of its initial public offering, in the form of an increase of NPR 3 billion in paid-up capital and additional share premium. (NPR100 = RM3.39)

According to a statement, the transaction is pending regulatory approval and is due to complete in March 2023.

The ratings will remain under review until the successful completion of the initial public offering.

-- BERNAMA