Moody's
This concludes the ratings review for upgrade initiated on 1 September 2021 following the Saigon - Hanoi Commercial Joint Stock Bank's (SHB, B1 positive, b2) to sell equity stake in SHB Finance to Bank of Ayudhya (BAY, Baa1 stable, baa3).Subsequently, Moody's will withdraw all ratings of SHB Finance.RATINGS RATIONALEThe confirmation of SHB Finance's ratings and change in outlook to positive reflects Moody's expectations that the company will benefit from funding, technology, and risk management support from BAY after the acquisition. Hence SHB Finance's ratings could be upgraded considering affiliate support that the company will receive from BAY.The acquisition will take place in two phases with SHB transferring 50% of the charter capital initially and the remaining 50% in the next three years.