Colombia’s state oil company
Ecopetrol said on Thursday it will offer to swap $1.5 billion
of its 2019 debt, which has a 7.6 percent coupon, for paper
with looser transfer restrictions to increase the bonds
liquidity.
The swap will begin on Thursday and will close on October 2
and will not bring fresh funds. The new paper will be identical
to the old bond except for new rules about registry rights and
transfer restrictions.
“When the original offer was made it was directed only at
institutional investors. With this change what we are looking
for is greater liquidity,” said Alexandra Santamaria at
Ecopetrol.
Ecopetrol ECO.N recently borrowed $1.5 billion to
help finance a $60 billion expansion plan due for completion in
2015. (Reuters)