Revolut has received its first credit rating. S&P anticipates the fintech company's entry into the bond market

S&P Global Ratings has assigned Revolut an investment-grade rating of BBB+ with a positive outlook, according to a report published by the agency on Thursday. This is the first rating the rating agency has assigned to the fintech company: Revolut received it amid its business expansion beyond the United Kingdom, Bloomberg notes.

“Revolut’s strong consumer brand, scalable technology platform, and increasingly diversified product lineup support the company’s position,” the S&P report states. The agency expects Revolut to begin raising funds next year through the issuance of unsecured bonds that take priority over subordinated debt.

According to S&P, Revolut needs to build up a reserve of debt obligations capable of absorbing losses in accordance with regulatory requirements. Since Revolut’s balance sheet has exceeded £40 billion ($53.5 billion), the report states that in the event of the fintech company’s collapse, the Bank of England would seek to initiate a resolution process in which debt holders would be required to absorb the losses.

S&P expects Revolut's loan portfolio to more than double this year and again in 2027, as the company expands its unsecured retail lending and begins offering mortgages in select countries.

Revolut’s BBB+ rating is the highest grade in the lowest investment-grade category (BBB). S&P highlighted several risks facing the company. In particular, customers are currently less likely to use Revolut as their primary bank than they are to use traditional banks, and rapid global growth “could increase operational complexity and compliance risks,” the report states.

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