OREANDA-NEWS. Standard & Poor's Ratings Services said today that it raised its long- and short-term counterparty credit ratings on Russia-based Promsvyazbank JSCB (PSB) to 'B+/B' from 'B/C'.

At the same time, the ratings were removed from CreditWatch where they had been placed with positive implications on Aug. 31, 2006, following the announcement that Germany-based Commerzbank AG (A-/Positive/A-2) was acquiring a 15.3% stake in PSB, with a potential step-by-step increase to a majority stake in the medium term. The outlook is positive.

“The rating’s upgrade is based on the strengthened financial parameters of the bank after the increase in the capital. Commerzbank purchased 15,3% of the bank in December 2006 by increase in the capital of PSB by $157 million: approximately 60% of the amount are received from Commerzbank and 40% from current owners”, Eugenie Tarzimanov, credit analyst of Standard & Poor’s mentioned.