INVESTEC BANK LIMITED - Investec Bank Limited: Credit rating actions by Fitch Ratings

Investec Bank Limited: Credit rating actions by Fitch Ratings

Investec Bank Limited
Incorporated in the Republic of South Africa
Registration number 1969/004763/06
Codes: INVS, BIINLP, INVD, INVP, INVSN, INLPH

Investec Bank Limited

Investec Bank Limited: Credit rating actions by Fitch Ratings

Shareholders and noteholders are referred to the Fitch Ratings (Fitch) press release on 27
November 2020 and rating actions on South African banks, including the ratings of Investec
Bank Limited.

Fitch has downgraded the long-term Issuer Default Ratings (IDRs) and Viability Rating (VR)
of Investec Bank Limited to 'BB-' and 'bb-' (from BB and bb), respectively. The Outlook on the
IDRs remains Negative. All debt ratings on the international scale have also been
downgraded by one notch.

The rating actions follow Fitch's downgrade of the South African sovereign's long-term IDRs
to 'BB-' from 'BB' on 20 November 2020. Fitch considers that South African banks cannot be
rated above the South African sovereign given the high concentration of their activities within
South Africa and significant sovereign exposure (dominated by government debt but also
includes that of public-sector corporates).

The specific rating changes for Investec Bank Limited are as follows:

                                                                To                From
 Long-term foreign and local currency Issuer Default            BB-                 BB
 Ratings
 Viability Rating                                               bb-                 bb

 Support Rating                                                  4                   3

 Support Rating Floor                                            B+                 BB-

 Senior unsecured long-term rating                              BB-                 BB


The downgrades, taken in isolation of any other matters, are expected to have an immaterial
impact on Investec’s risk weighted assets and therefore the impact on regulatory capital is
also expected to be immaterial. In addition, the downgrades are expected to have a small
impact on Investec Bank Limited’s cost of funds over time, as a result of Investec Bank
Limited being predominantly domiciled in South Africa and raising most of its deposits and
funding in the closed rand system, with very little mismatch between foreign denominated
funding and foreign denominated assets.

Fitch’s press release can be accessed on: www.fitchratings.com.


1 December 2020

N van Wyk
Company Secretary
Investec Bank Limited


Sponsor:
Investec Bank Limited

Date: 01-12-2020 02:00:00
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