BBVA issues COP 250 billion in green bonds in Colombia

BBVA Colombia, a subsidiary of Spain's Banco Bilbao Vizcaya Argentaria, returned to the local capital market after 12 years by issuing COP 250,000 million in ordinary sustainable bonds on the Bolsa de Valores de Colombia (bvc).

The transaction was carried out under the successive batch placement mechanism, an instrument introduced to speed up debt issuances in the Colombian market. This tranche represents the first batch of an issuance program that contemplates a total amount of up to COP 3 trillion under the Colombian unit's 2022 Issuance and Placement Program (PEC).

Investor demand reached COP 304,580 million, which resulted in an oversubscription of 1.22 times the amount offered. The proceeds will fund new or existing projects with environmental and social criteria, according to BBVA Colombia Chief Executive Officer Gloria Couceiro.

Bvc General Manager Andrés Restrepo noted that this is the fourth issuance conducted through the successive batch mechanism and the first of a sustainable nature in the Colombian market.