NEW YORK--(BUSINESS WIRE)--Kroll Bond Rating Agency (KBRA) has assigned a senior unsecured debt rating of BBB+, a subordinated debt rating of BBB, and a short-term debt rating of K2 to Pine Bluff, Arkansas based Simmons First National Corporation (NASDAQ: SFNC) (“the Company”). KBRA has also assigned deposit and senior unsecured debt ratings of A-, a subordinated debt rating of BBB+, and short-term deposit and debt ratings of K2 to its subsidiary, Simmons Bank. The Outlook for all long-term ratings is Stable.
The ratings of Simmons First National Corporation are supported by the Company’s diversified product offerings, deep management bench, comprehensive risk management framework, disciplined and thoughtful approach to M&A, and solid core earnings metrics with the capacity to improve over time. The ratings are constrained by marginally weaker than average asset quality metrics, partially impacted by acquired loans, comparatively lower capital ratios than the peer average, and a degree of integration risk associated with two large recent acquisitions.
The ratings are based on KBRA’s Global Bank and Bank Holding Company Rating Methodology published on February 19, 2016.
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KBRA is a full service credit rating agency registered with the U.S. Securities and Exchange Commission as an NRSRO. In addition, KBRA is recognized by the National Association of Insurance Commissioners as a Credit Rating Provider and a certified Credit Rating Agency (CRA) by the European Securities and Markets Authority (ESMA). Kroll Bond Rating Agency Europe Limited is registered with ESMA as a CRA.