DataPro assigns “A” rating to Flour Mills of Nigeria

In its quest to keep investors informed about the strength of a company to meet its obligations, DataPro, a technology-driven credit rating agency (CRA) has assigned to Flour Mills of Nigeria (FMN) Plc a long-term rating of “A” with a positive outlook for the year 2021/2022. DataPro assigned the rating in its latest report according […]

DataPro assigns “A” rating to Flour Mills of Nigeria
Flour Mills Nigeria

In its quest to keep investors informed about the strength of a company to meet its obligations, DataPro, a technology-driven credit rating agency (CRA) has assigned to Flour Mills of Nigeria (FMN) Plc a long-term rating of “A” with a positive outlook for the year 2021/2022.

DataPro assigned the rating in its latest report according to a statement signed by Kehinde Rasheed, the organisation’s client services manager.

The “A” indicates low risk and shows very good financial strength, operating performance and business profile when compared to the standard established by DataPro.

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“This Company, in our opinion, has a strong ability to meet its ongoing obligations,” DataPro said.

DataPro’s rating committee approved the rating after assessment of the company’s financial performance, corporate governance and risk management, regulatory environment and future outlook of its current healthy profile in the medium to long term period.

The Rating of Flour Mills of Nigeria Plc is said to have been supported by its strong brand presence, experienced management team and diversified income sources.

Flour Mills of Nigeria Plc had a short-term Rating of “A1” which indicates good credit quality and satisfactory capacity for timely payment of financial commitments, according to the statement.

However, the company warned investors to use the rating for reference purposes as it is not an offer to trade in securities.

“DataPro notes that the Rating carries a maximum shelf life of 12 calendar months, in line with International Best Practice. The Rating is therefore not an offer to trade in securities nor a substitute for the user’s judgement. It is meant for reference purposes,” they said.