The securitised portfolio consists of payroll-deductive loans of borrowers in Italy.

The rating affirmation reflects the bank’s progress in its transformation strategy which puts pressures on its financial viability, but which remains adequately buffered.

The affirmation is based on the waiver and covenant reset recently agreed among the involved banks as well as the company’s largely unchanged business and financial risk profiles.

The EUR [1,012.8]m underlying portfolio of auto loan receivables was originated to private individual borrowers by Banco Cetelem, S.A.U.

The rating action follows the completion of the merger between Sparebanken Vest and Sparebanken Sør to become Sparebanken Norge. Scope will re-assess the potential positive impact for Brage as a majority owned subsidiary of Sparebanken Norge.

The downgrade reflects the issuer’s still-elevated leverage, which, despite gradual improvement, remains above levels consistent with the previous rating. All ratings have been withdrawn due to business reasons.

The Positive Outlook reflects the improvements in governance and risk management embedded now as key element of the group’s culture, as the closure of the corporate probation period under ad-hoc regulatory oversight is approaching.

The affirmation reflects the gradual improvement in leverage following a period of heavy investment and moderate cash generation resilient to inflationary pressures.

The affirmation reflects Scope’s view that growing EBITDA generation will allow ALTEO to withstand pressure on credit metrics resulting from new investments and increased debt.

With inflation under control, Bulgaria is on track to adopt the euro in January 2026, a development which would support the stability of the highly euroised economy, improve monetary-policy flexibility and enhance the sovereign’s capital-market access.