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FOR IMMEDIATE RELEASE
AMSTERDAM - OCTOBER 15, 2020 10:51 AM (EDT)
AM Best has placed under review with developing implications the Financial Strength Rating of A- (Excellent) and the Long-Term Issuer Credit Rating of “a-” of Credendo – Single Risk Insurance AG (Credendo – Single Risk) (Austria), which is a subsidiary of Credendo Export Credit Agency, a holding company of a group of trade credit and political risk insurance companies (Credendo group).
These Credit Rating (rating) actions follow the recent announcement that the Credendo group intends to merge Credendo – Single Risk into its sister company, Credendo – Excess & Surety. The merger is expected to complete in the second quarter of 2021 with a retroactive effect per year-end 2020 and is subject to regulatory approval. The combined entity will be renamed Credendo – Guarantees & Speciality Risks.
The ratings are expected to remain under review pending completion of the transaction, at which point Credendo – Single Risk will cease to exist. AM Best will continue to hold discussions with the company about the expected risk-adjusted capitalisation, prospective performance and business plans of the combined entity.
This press release relates to Credit Ratings that have been published on AM Best’s website. For all rating information relating to the release and pertinent disclosures, including details of the office responsible for issuing each of the individual ratings referenced in this release, please see AM Best’s Recent Rating Activity web page. For additional information regarding the use and limitations of Credit Rating opinions, please view Guide to Best’s Credit Ratings. For information on the proper media use of Best’s Credit Ratings and AM Best press releases, please view Guide for Media - Proper Use of Best’s Credit Ratings and AM Best Rating Action Press Releases.
AM Best is a global credit rating agency, news publisher and data analytics provider specialising in the insurance industry. Headquartered in the United States, the company does business in over 100 countries with regional offices in New York, London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City.