📊 Fitch Rates Sampath Bank's LKR 10 Bn Debenture Issue at ‘A(EXP)(lka)’

Fitch Ratings has assigned an expected rating of ‘A(EXP)(lka)’ to Sampath Bank PLC’s proposed Basel III-compliant subordinated debentures of up to LKR 10 Bn. • Issue Details: LKR 10 Bn rupee-denominated debentures with 5-year and 7-year maturities, to be listed on the Colombo Stock Exchange. • Capital & Growth: Proceeds will supplement banking sector regulatory Tier 2 capital, ensuring capital adequacy compliance and supporting loan book growth. • Structure & Conversion: Includes a non-viability clause converting debentures to ordinary voting shares if triggered by the Central Bank of Sri Lanka. • Rating Drivers: Rated two notches below Sampath Bank’s standalone rating of ‘AA-(lka)’/Stable, reflecting baseline loss-severity expectations for subordinated debt. Final rating is subject to final documentation.