Colombia’s Davivienda Sells COP200bn in Bonds

Banco Davivienda has priced COP200bn ($105m) in 2015 subordinated bonds in an auction process. The Colombian bank, controlled by Sociedades Bolivar, placed COP132.9bn equivalent in inflation-linked UVR units at 6.65%, and COP76bn at 665bp above the country’s IPC 12-month inflation rate. Buyers included Colombian insurance companies, financial service providers, pension funds, companies, and individuals, according to a bank official. Proceeds will be used for the bank’s working capital. Davivienda’s own DCM unit managed the transaction.