Bancolombia offers $886 in preferential shares

Colombia’s biggest bank, Bancolombia, announced Friday a public offering of 64 million shares worth $886 million.

The shares will first be offered exclusively to the current shareholders of Bancolombia in the domestic market, for 15 days from January 6 to 27.

Any shares not sold within this period will then be offered outside Colombia in the form of American Depositary Receipts.

An American Depositary Receipt is a certificate issued by a U.S. bank representing a specific number of one or more shares in a foreign stock traded on a U.S. exchange.

The price of each share is COP 26,000 or $13.80. With the funds raised from this share issuance, the bank will “offer finance and credit to its clients, consolidate the growth of its businesses and strengthen its capital structure in accordance with international standards.”

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