Coronation Merchant Bank (formerly Associated Discount House Limited) has announced an upgrade of its credit rating by Agusto & Co.
The rating agency upgraded Coronation Merchant Bank’s credit rating from ‘A-’ to ‘A’, with stable outlook.
This, according to a report serves as a valid testament to the bank’s “strong capitalisation, good liquidity profile, good asset quality and experienced management team.”
With this coming barely one year after the bank’s conversion to merchant banking operations, the effectiveness of the new business strategy and operational model has become evident.
Over the past one year, Coronation Merchant Bank has demonstrated a strong capacity to intelligently navigate the challenging and complex business environment in a manner that guarantees shareholders value.
“The bank has adopted a business model which is very risk focused and is committed to the adoption of risk management best practices in all facets of its operations and predicates its operations on a conservative but highly responsive portfolio management philosophy.
“This strategy, laced with a guarded risk attitude and strong risk bearing capacity supported its seamless transition from Discount House to Merchant Bank. Inspired by its aspiration of becoming Africa’s Premier Investment Bank, Coronation Merchant Bank is already demonstrating industry leadership in responsible business practices,” the report added.
The bank is one of the latest entrants to the Merchant Banking space and offers diversified services through its subsidiaries; Coronation Securities Limited and Coronation Asset Management. It has two branches located in Abuja and Port Harcourt, and its Head Office is in Lagos.