Nordic Credit Rating (NCR) has raised its long-term issuer rating on Sweden-based savings bank Sparbanken Västra Mälardalen (Sparbanken VM), and withdrawn the rating following its merger with Swedish savings bank Sparbanken Mälardalen AB (publ) (formerly Sparbanken Rekarne AB (publ) ('A-' long-term issuer rating). Sparbanken VM's sole outstanding senior unsecured bond was transferred to the merged bank and is now rated 'A-'. Sparbanken Rekarne is the surviving entity of the merger and has been renamed Sparbanken Mälardalen.
Rating rationale
The merger between Sparbanken VM and Sparbanken Rekarne was finalised on 1 Sep. 2025. When the merger was initially announced in January 2025, NCR placed its rating on Sparbanken VM on watch positive, reflecting our expectation that the merged bank will be assigned an 'A-' long-term issuer rating in line with the rating on Sparbanken Rekarne.
Subsequently, following the completion of the merger, we raised our ratings on Sparbanken VM to align with the ratings on the merged bank. Following the merger, the issuer rating on Sparbanken VM was withdrawn.
Related rating actions
i) Sparbanken Mälardalen AB 'A-' long-term issuer rating affirmed following merger and name change; Outlook stable, 1 Sep. 2025
ii) Sparbanken Västra Mälardalen 'BBB+' long-term issuer rating placed on watch positive, 27 Jan. 2025
iii) Sparbanken Rekarne AB (publ) 'A-' long-term issuer rating affirmed; Outlook stable, 27 Jan. 2025
Rating list | Withdrawal | To | From |
|---|---|---|---|
Long-term issuer credit rating: | NR | A- | BBB+ |
Outlook: | - | Stable | |
Watch | - |
| Watch Positive |
Short-term issuer credit rating: | NR | N2 | N2 |
Senior unsecured issue rating: | NR | A- | BBB+ |
Contacts:
Ylva Forsberg, analyst, +46768806742, ylva.forsberg@nordiccreditrating.com
Sean Cotten, chief rating officer, +46735600337, sean.cotten@nordiccreditrating.com
Geir Kristiansen, analyst, +4790784593, geir.kristiansen@nordiccreditrating.com
The methodology documents used for this rating are NCR's Financial Institutions Rating Methodology published on 12 May 2025, NCR's Rating Principles published on 14 Feb. 2024 and NCR's Group and Government Support Rating Methodology published on 14 Feb. 2024. For the full regulatory disclaimer please see the rating report.