Davivienda Issues Domestic Bonds

Banco Davivienda has issued COP500bn ($275m) in Colombia’s domestic bond market, according to sources following the deal. The bank sold COP96m in 2015 bullet bonds at 6.52%, COP174bn in 2022s at IPC+4.07%, and COP230bn in 2027s at IPC+4.23%. Total demand was more than 2.5x. Davivienda plans to use proceeds for the development of its credit business. Davivienda’s own brokerage led the sale, 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%.