Moody's Corporation has acquired PhilRatings for an undisclosed amount. PhilRatings is the pioneer domestic credit rating agency in the Philippines, providing independent credit ratings for bonds, commercial papers, bank loans, and various financial institutions since 1985. This transaction brings the established Philippine entity, known for its unbiased evaluation of credit quality, under the umbrella of Moody's, a global integrated risk assessment firm.
PhilRatings holds a unique position in the Philippine financial landscape. It is the first and only domestic Credit Rating Agency recognized by the Bangko Sentral ng Pilipinas (BSP) for bank supervisory purposes, and also accredited by the Securities and Exchange Commission (SEC). Its ratings are utilized by the Philippine Dealing and Exchange Corporation (PDEx) and the Insurance Commission. The company is also a founding member of the Association of Credit Rating Agencies in Asia (ACRAA). This acquisition provides Moody's with direct access to the Philippine market, leveraging PhilRatings' deep local expertise and regulatory standing.
The acquisition is expected to create a stronger platform for credit risk assessment in the Philippines. Moody's global methodologies, analytical resources, and extensive network will complement PhilRatings' profound understanding of the local market and its established relationships. This combination aims to enhance the breadth and depth of credit rating services available, supporting the continued development and transparency of the Philippine capital market.
The integration of PhilRatings into Moody's operations is anticipated to strengthen the overall credit analysis infrastructure within the Philippines. The combined entity will be well-positioned to meet the evolving demands of the nation's financial sector, offering enhanced insights and contributing to its stability and growth.