RPT-Fitch Assigns ATLANTICLUX’s Salam III Sukuk Programme ‘BBB-(EXP)’ Rating
Fitch Ratings has assigned Salam III Limited’s USD100m insurance-linked Sukuk programme an expected rating of ‘BBB-(EXP)’. Fitch has also assigned a rating of ‘BBB-(EXP)’ to the proposed first USD20m tranche under the programme. ATLANTICLUX Lebensversicherung S.A. (ATL) acts as ultimate obligor in the programme, which is sponsored by ATL’s parent company FWU AG. The Sukuk programme’s rating is the same as ATL’s Long-term Issuer Default Rating (IDR). Each tranche of the Salam III Sukuk programme will have its final payment date five years after its issuance. The first tranche of USD20m is currently planned to be issued in September 2013. Proceeds from the programme will be used to finance upfront acquisition costs of new business. The Sukuk programme has no material impact on ATL’s credit fundamentals such as financial leverage or capitalisation.