THE NIMOS HOLDING SA

EthiFinance Ratings affirms The Nimo's Holding, S.L.'s long-term rating at BB- with stable outlook and short-term rating at EF3. The Nimo's Holding (hereafter, The Nimo's) is a Spanish company founded in 2012 and the parent company of the Inveready Group, which focuses its activities on financial asset management, financial services, investment banking and private banking. Our credit rating is based on a growing profitability mainly driven by strong revenues from its fund management, with a positive evolution of its assets under management, and a positive track-record of the funds that have allowed investors higher returns than the initial capital invested. In addition, our rating highlights the increasing diversification of its income and adequate liquidity levels. The rating is limited by the high investment in equity instruments held on the balance sheet, which shows concentration risk and a high risk appetite, for which the Group plans to seek greater diversification. Our rating also reflects the Group's limited size and moderate debt levels, which have increased following the launch of the issuance of the commercial paper program to finance investment banking operations. In addition, the rating considers that the uncertain macroeconomic environment could lead to a slowdown in industry growth, as well as impact the valuations of investee companies, which could have an impact on the Group's financial results.