Colombia’s Popular Taps Local Debt

Colombia’s Banco Popular has sold COP500bn ($254m) in local bonds across 6 tranches, says finance vice president Aida Diaz, adding this is the first issue of a plan to sell up to COP3trn over 3-6 years. A COP99.7bn 18-month tranche pays IBR plus 1.10%; a COP72.5bn 24-month piece pays IBR plus 1.24%; a COP67.0bn 24-month tranche pays DTF plus 1.10%; a COP41.5bn 36-month piece pays IBR plus 1.44%; a COP177.4bn 36-month tranche pays IPC plus 3.30% and a COP41.4bn 60-month piece pays IPC plus 3.90%. Diaz says the bank originally planed to issue only COP350bn, but upsized the amount due to demand, which totaled COP771.0bn. She adds that proceeds of the AAA rated bond will be used for working capital and that Popular lead the sale itself. Subsequent issues will be made depending on market conditions, she says.