Moody's to Acquire Majority Interest in Argentine Credit Ratings Agency
Moody’s Investors Service announced that it has acquired a majority equity interest in Magister, a leading Buenos Aires-based business risk analysis and credit ratings agency. Subject to regulatory approvals and certain conditions contained in the stock purchase agreement, the transaction is expected to close within the next few weeks. Moody’s also owns an interest in Humphreys Argentina and has announced that once the Magister acquisition has been completed, it will merge the two agencies to form a new entity to be called Moody’s Latin America S.A. The process of merging the two entities will be completed with the finalization of all appropriate corporate and regulatory approvals. Moody’s Latin America, which will be headed by Mr. Daniel Rúas, will provide more than 300 ratings on Argentine institutions and securities including banks, corporate debt, structured finance transactions, and municipalities and provinces. Douglas Elespe, currently the President of Magister, will serve as a Senior Managing Director of the company and will be directing Moody’s Latin America’s business development efforts throughout the Southern Cone.