Davivienda Readies Domestic Issue

Banco Davivienda is set to issue COP400bn-COP600bn ($223m-$335m) in Colombia’s local bond market today. The bank can choose from among a 3-year fixed-rate bullet, and 10-year and 15-year inflation-linked tranches. It plans to use proceeds for the development of its credit business. Davivienda is self-leading the issue, which is rated AAA on a local scale. In June, the Colombian bank saw 6x demand for its first-ever dollar bond, a $500m 5.875% 2022 yielding 5.950%.