Banco de Bogota to Boost Equity

Banco de Bogota is to receive $500m in equity to support the recent purchase of BBVA’s Panamanian operations, parent Grupo Aval says. The holdco was not specific about the nature of the increase, or if it might involve a public sale, and an investor relations official declines to comment on the matter. Aval’s $646m purchase of BBVA Panama was announced last week and followed a $411m deal for Guatemala’s Grupo Financiero Reformador. Aval has registered for an equity follow-on representing the debut of its US ADS, and hired JPMorgan, Goldman Sachs, Citi and Morgan Stanley. The transaction is expected to raise as much as $1bn and price as soon as the September-October window.