Multitude announced that the parent company's, Multitude AG's, Long-Term Issuer Default Rating (IDR) was affirmed at 'B+' (stable outlook). Fitch upgraded the Group's standalone credit profile (SCP) to 'bb-' from 'b+' and Multitude Bank PLC's rating to 'BB-'.

We see the upgrade in the Groups standalone credit profile as a slight positive signal although it's good to note that the credit profile still is clearly in the speculative area and the parent company's credit rating was affirmed. We see the upgrade is aligned with Multitude's positive impairment loss trend and improved asset quality. We view improved credit rating could support lower funding costs for Multitude in the long term facilitate capital market access, which is critical for maintaining diversified funding sources. The news doesn't cause changes to our estimates.