Tashkent, Uzbekistan (UzDaily.com) -- Fitch Ratings has assigned Uzbek Industrial and Construction Bank’s (UICB) USD300 million 5.75% senior unsecured Eurobonds maturing in 2024 a final long-term rating of ‘BB-’.

The assignment of the final rating follows the completion of the issue on 25 November 2019 and receipt of documents conforming to the information previously received. The final rating is in line with the expected rating assigned on 18 November 2019.

The issue’s final rating is equalised with UICB’s Long-Term Foreign- and Local-Currency IDRs, which are driven by state support from the Republic of Uzbekistan (BB-/Stable).

The terms of the final Eurobond prospectus include financial covenants relating to UICB’s compliance with regulatory capital ratios and dividend payments. A put option (in case the state ceases to control at least 50% + 1 share of the bank’s common stock) and a call option (which can be exercised by the issuer at any time prior to the maturity date) are also embedded.

The final Eurobond rating is sensitive to changes in UICB’s Long-Term IDRs, which in turn will reflect any change in probability of state support for the bank. Fitch will likely review its assessment of support probability from the state should UICB’s privatisation plans change, resulting in minority state ownership or a much-diminished role for the bank, reducing its systemic importance.