Acuite assigns ratings on long term bonds of UCO bank

New Delhi: State-owned UCO Bank informed in a regulatory filing on Tuesday that "Acuite Rating and Research Limited (“Acuite”) has assigned the long-term rating on Proposed BASEL III Compliant Tier I Bond Programme and reaffirmed its long-term rating on BASEL III Compliant Tier II Bond of the Bank."

"Acuité has assigned the long-term rating of ‘ACUITE AA-’ (read as ACUITE double A minus) on the Rs 1,000 crores proposed Basel III Compliant Tier-1 Bond Programme of UCO Bank. The outlook is 'Stable'," the filing said.

"Acuité has reaffirmed its long-term rating of ‘ACUITE AA’ (read as ACUITE double A) on Rs 1,000 crores Non-Convertible Basel III Compliant Tier-2 Bonds programme of UCO Bank. The outlook is ‘Stable’," it added.

While discussing the bank's ratings, the rating agency said, "The rating continues to take into consideration noticeable and sustained improvement in the financial performance and asset quality. Driven by traction in credit growth in RAM (Retail, Agriculture & MSME) segment and healthy margins, the bank has been reporting improvement in operating performance."

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