Standard and Poor's buys Russian ratings firm
RUSSIA – Ratings agency, Standard & Poor's, has strengthened its presence in Russia with an agreement to acquire a majority stake in EA-Ratings, Russia’s first independent credit rating firm
S&P says it is responding to an increasing need for a new level of investment and credit risk management in Russia.
The deal will enable Standard & Poor's to enhance its service to clients in Russia's domestic market.
The purchase of EA-Ratings is subject to Russian regulatory approval and the transaction is expected to close in early 2002.
The renamed company will be Standard & Poor's EA-Ratings.
"Standard & Poor's is part of the global infrastructure that makes the world's financial markets function. Our decision to significantly expand our services in Russia reflects the major, positive changes currently underway in Russia's financial markets and the need for more sophisticated financial instruments for investment and credit risk management," says Leo O'Neill, president of Standard & Poor's. "Our expanded range of services will help establish new standards of transparency, and analysis which are consistent with global practices, enabling investors to make investment decisions with greater confidence."
With the EA-Ratings purchase, Standard & Poor's is also launching a new service, Standard & Poor's Russia National Credit Ratings, tailored to meet the needs of local and foreign participants on Russia's capital and money markets.
The service will give much finer distinctions in credit quality than have previously existed in Russia.