Credit rating rationale. The bonds listed below are senior unsecured debt of “TransFin-M” PC (hereinafter — TransFin-M, or the Company). Due to the absence of either structural or contractual subordination of the bonds, ACRA ranks the bonds pari passu with other existing and future unsecured and unsubordinated debt obligations of the Company. According to the ACRA methodology, the reimbursement rate for unsecured debt relates to category II; hence, the bond issues are assigned the credit rating A-(RU), on par with the credit rating assigned to the Company.
The credit rating of TransFin-M (A-(RU)) is based on a moderate standalone creditworthiness assessment and a high likelihood of extraordinary support from the parent company, non-state pension fund “BLAGOSOSTOYANIE.” Compared to other RF-based issuers, the Company’s creditworthiness is assessed as high.
Key issue properties
1) RegS / ISIN: 4B02-02-50156-A-001P / RU000A0JXK99
| Actual issuer | “TransFin-M” PC |
| Type of security | Exchange-traded interest-bearing certified unregistered bond, |
| Issue volume | RUB 5 billion |
| Final placement date | March 06, 2017 |
| Maturity date | February 22, 2027 |
2) RegS / ISIN: 4B02-03-50156-A-001P / RU000A0JXVB1
| Actual issuer | “TransFin-M” PC |
| Type of security | Exchange-traded interest-bearing certified unregistered bond,series 001P-03-боб |
| Issue volume | RUB 500 million |
| Final placement date | July 10, 2017 |
| Maturity date | June 28, 2027 |
Regulatory disclosure
The credit rating has been assigned under the national scale for the Russian Federation and is based on the Methodology for Assigning Credit Ratings to Individual Issues of Financial Instruments under the National Scale of the Russian Federation, and the Key Concepts Used by the Analytical Credit Rating Agency within the Scope of Its Rating Activities.
A credit rating has been assigned to series 001P-02-боб bond and series 001P-03-боб bond issued by TransFin-M for the first time. The credit rating is expected to be revised within one year following the rating action (August 22, 2017).
The assigned credit rating is based on the data provided by TransFin-M, information from publicly available sources, as well as ACRA’s own databases. The rating analysis was performed using IFRS consolidated statements of TransFin-M and statements of TransFin-M composed in compliance with RAS. The credit rating is solicited, and TransFin-M participated in its assignment.
No material discrepancies between the provided data and the data officially disclosed by TransFin-M in its financial statements have been discovered.
ACRA provided no additional services to TransFin-M. No conflicts of interest were discovered in the course of credit rating assignment.
