Ecopetrol Sale Seen at $1.1bn-$1.7bn

Colombia’s Ecopetrol will seek to place COP2.0 trn-COP3.0trn ($1.14bn-$1.71bn) in an equity follow on, according to remarks made by its CEO and confirmed by a company spokesman. This amount is an estimation based on the state-controlled oil producer’s needs, the spokesman says, with exact details decided at a board meeting Friday. The issuer has scheduled a July 27-August 17 order period for the local-only sale, and must state the exact number of shares and the share price on prior to the July 27 opening. A COP2 trn-COP3trn deal would represent between 1.5% and 2% of Ecopetrol, despite the government’s authorization to float up to 9.9%. Credit Suisse, JPMorgan and Bancolombia are expected to manage the sale after being mandated as bookrunners on Ecopetrol’s previous transaction. Shares closed at COP3,710 Tuesday.