The telecommunications unit of Colombian state utility company Empresas Publicas de Medellin SA, or EPM, said it issued 300 billion pesos ($157 million) worth of inflation-indexed bonds in the local market.
Demand for the securities was more than double the supply, EPM said in an emailed statement Friday. The sale comprised COP150 billion of five-year bonds at the consumer price index plus 3.67% and an equal amount of 12-year bonds at inflation plus 4.76%. Colombian inflation for the last 12 months is 3.73%.
EPM is the third largest telecommunications operator in Colombia, with about 2 million clients.
The proceeds from the bond sale will go toward broadband mobile phone investments, integration efforts with its Bogota affiliate and projects to build up its markets in Bogota, Cali and Barranquilla, it said.
Demand for Colombian bonds has been strong after the nation’s sovereign debt was rewarded with investment grade status this year by the three main credit ratings agencies following a series of fiscal, social and political reforms that have boosted economic growth rates.