FINANCIAL CHRONICLE – Fitch Ratings has assigned a final National Long-Term Rating of ‘A-(lka)’ to Sri Lanka’s LB Finance’s proposed listed senior unsecured debentures, which amount to up to LKR10 billion. This rating is consistent with LB Finance’s National Long-Term Rating, as the debentures hold the same rank as claims from the company’s other senior unsecured creditors.

The proposed debentures, which will mature in five years, are planned to be listed on the Colombo Stock Exchange. LB Finance intends to use the funds raised to support the expansion of its loan portfolio. The final rating follows the receipt of documents that conform to prior information, aligning with the expected rating assigned on November 4, 2025.

Fitch reviewed LB Finance’s ratings on August 28, 2025, without taking any rating action. The last action was on January 24, 2025, when Fitch upgraded LB’s National Long-Term Rating to ‘A-(lka)’ from ‘BBB+(lka)’ following a recalibration of Sri Lankan national ratings.

RATING SENSITIVITIES

Factors that Could Lead to Negative Rating Action/Downgrade: A downgrade of LB Finance’s National Long-Term Rating would result in a downgrade of the senior debt rating.

Factors that Could Lead to Positive Rating Action/Upgrade: An upgrade of LB Finance’s National Long-Term Rating would result in an upgrade of the senior debt rating.

(Colombo/Jan23/2026)