Colombia market update – June 30, 2011

The Colcap was punished today for a loss of 1.08% as the country’s largest retailer, Exito, dropped 5.77%. The trio of companies with the best returns on the year led the markets, Fabricato (+1.56%), Tablemac (+1.56%) and Coltejer (+2.65%). Volume reached recent daily averages of COP$161 billion.

Exito announced last night its plan to raise up to $1.4 billion or roughly 25% of its current market cap to fund the US$746 million purchase of a chain of supermarkets in Uruguay. The remaining capital will be used to upgrade existing stores, gain share in tertiary markets, and expand internationally.

The Peso is back on its march toward the 1,750 level. It closed 0.59% stronger today to 1,769.00.

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