The Mexican subsidiary of international ratings agency Moody's has assigned the factoring and leasing subsidiaries of local financial group Banorte a local currency rating of Aa1.mx.
The ratings for Factor Banorte and Arrendadora Banorte imply a strong profile with creditors facing a lower probability of loss compared to other Mexican borrowers, according to Moody's.
Moody's based its rating on the integration of the two companies with the parent Grupo Financiero Banorte, and its main subsidiary, local bank Banorte. While the factoring and leasing units are relatively small compared to the group, they are well placed to compete in their respective markets thanks to their ties with Banorte.
As of 30 September 2003, Factor Banorte had assets of about 3bn pesos (US$275m) and capital of 200m pesos, while Arrendadora Banorte reported assets of 1.3bn pesos and capital of 187m pesos.
