BOGOTÁ, Colombia, Feb. 14, 2023 /PRNewswire/ — Ecopetrol S.A. (“Ecopetrol“), announced today the final tender results in connection with its previously announced tender offer for cash (the “Offer“) to purchase up to U.S.$1,000,000,000 in aggregate principal amount (the “Maximum Tender Amount“) of its outstanding 5.875% Senior Notes due 2023 (CUSIP: 279158 AC3 / ISIN: US279158AC30 (the “Notes“). The Offer was made pursuant to Ecopetrol’s Offer to Purchase, dated January 17, 2023 (the “Offer to Purchase“), which set forth a comprehensive description of the terms of the Offer.
The Offer expired at 11:59 p.m., New York City time, on February 13, 2023 (the “Expiration Date“). Any Notes that have been validly tendered cannot be withdrawn, except as may be required by applicable law.
The following table summarizes the final results for the Offer as of the Expiration Date and the principal amount of Notes that Ecopetrol has accepted for cancellation:
|
Title of Notes |
CUSIP / ISIN Nos. |
Aggregate Principal Amount Outstanding(1) |
Maximum Tender Amount |
Aggregate Principal Amount Tendered & Accepted for Purchase on the Early Tender Date(2) |
Aggregate Principal Amount Tendered & Accepted for Purchase on the Expiration Date |
|
5.875% |
CUSIP: 279158 AC3 ISIN: US279158AC30 |
U.S.$1,800,000,000 |
U.S.$1,000,000,000 |
U.S.$976,186,000 |
U.S.$2,338,000.00 |
(1) Principal amount outstanding immediately prior to the Early Settlement Date (as defined below).
(2) Early settlement with respect to Notes validly tendered on or prior to the early participation date of 5:00 p.m., New York City time, on January 30, 2023 (the “Early Tender Date“) and accepted for purchase occurred on January 31, 2023 (the “Early Settlement Date“).
Holders who validly tendered and did not validly withdraw their Notes on or prior to the Early Tender Date, and whose Notes were accepted for purchase by Ecopetrol pursuant to the Offer, received the Total Consideration of U.S.$1,003.41 per U.S.$1,000 principal amount of Notes (the “Total Consideration“), which included an early tender payment (the “Early Tender Premium“) of U.S.$30.00 per U.S.$1,000 principal amount of Notes, subject to the Maximum Tender Amount.
Holders who tendered after the Early Tender Date but prior to the Expiration Date will receive the Tender Consideration only. The “Tender Consideration” means, for each U.S.$1,000 principal amount of Notes validly tendered and accepted by the Ecopetrol, the Total Consideration minus the Early Tender Premium. The applicable Consideration will be payable in U.S. dollars.
In addition to the Tender Consideration for the Notes validly tendered and accepted for purchase, Holders will also receive accrued and unpaid interest from, and including, the last interest payment date up to, but excluding, the Final Settlement Date, which will be paid in cash on the Final Settlement Date.
All the Notes tendered after the Early Tender Date but prior to the Expiration Date, and not validly withdrawn, were accepted for purchase. Since the principal amount of tenders does not exceed the Maximum Tender Amount, Ecopetrol will accept all Notes tendered after the Early Tender Date but prior to the Expiration Date.
For the Notes validly tendered after the Early Tender Date and on or prior to the Expiration Date, and accepted by Ecopetrol for purchase pursuant to the Offer, subject to the Maximum Tender Amount and proration, settlement will occur promptly after the Expiration Date (the “Final Settlement Date“). Ecopetrol expects the Final Settlement Date to be on February 15, 2023, which is the second Business Day following the Expiration Date.
Ecopetrol expressly reserves the absolute right, in its sole discretion, from time to time to purchase any Notes that remain outstanding after the Final Settlement Date through open-market or privately negotiated transactions, one or more additional tender or exchange offers or otherwise, on terms and at prices that may or may not be equal to the consideration offered in the Offer, or to exercise any of its rights, including redemption rights, under the Indenture governing the Notes.
The complete terms and conditions of the Offer are described in the Offer to Purchase, a copy of which may be obtained from Global Bondholder Services Corporation, the tender agent and information agent (the “Tender and Information Agent“) for the Offer, at https://gbsc-usa.com/ecopetrol/ or by telephone at +1 855-654-2014 (Toll-Free) or +1 212-430 3774 (Banks and Brokers).
Ecopetrol engaged Citigroup Global Markets Group Inc. to act as the dealer manager (the “Dealer Manager“) in connection with the Offer. Questions regarding the terms of the Offer may be directed to the Dealer Manager at +1 800-558-3745 (Toll-Free) or +1 212-723-6106 (Collect)
About Ecopetrol
Ecopetrol is a mixed economy company organized under the laws of the Republic of Colombia. Ecopetrol is the largest company in Colombia and one of the most relevant integrated energy companies in Latin America, with a presence primarily in Colombia and activities in the U.S. (U.S. Gulf of Mexico and Permian Basin), Brazil, Mexico, Peru, Chile and Bolivia. In Colombia, Ecopetrol is responsible for more than 60% of the hydrocarbon production, transportation, logistics, and hydrocarbon refining systems, and hold a leading position in the petrochemicals and gas distribution segment. Through its subsidiary, Interconexión Eléctrica S.A. E.S.P., Ecopetrol has a strong position in the electric power transmission business, toll roads and telecommunications sectors throughout Latin America. The Republic of Colombia currently owns 88.49% of Ecopetrol’s voting capital stock.
No Recommendation
None of Ecopetrol, the Dealer Manager, the Tender and Information Agent or the trustee for the Notes, or any of their respective affiliates, is making any recommendation as to whether holders should or should not tender any Notes in response to the Offer or expressing any opinion as to whether the terms of the Offer are fair to any holder. Holders must make their own decision as to whether to tender any of their Notes and, if so, the purchase price of Notes to tender. Please refer to the Offer to Purchase for a description of the offer terms, conditions, disclaimers and other information applicable to the Offer.
Disclaimer and Other Important Notices
This press release and the Offer to Purchase do not constitute an offer to buy or the solicitation of an offer to sell Notes in any jurisdiction in which such offer or solicitation would be unlawful. In those jurisdictions where the securities, blue sky or other laws require the Offer to be made by a licensed broker or dealer, the Offer shall be deemed to be made on behalf of us by the Dealer Manager or one or more registered brokers or dealers licensed under the laws of such jurisdiction. If materials relating to the Offer come into a holder’s possession, the holder is required by Ecopetrol to inform itself of and to observe all of these restrictions.
The Offer to Purchase has not been filed with or reviewed by the SEC, any state securities commission or any other regulatory authority, nor has any such commission or authority passed upon the accuracy or adequacy of the Offer to Purchase or any of the accompanying ancillary documents delivered herewith. Any representation to the contrary is unlawful and may be a criminal offense.
The Offer to Purchase will not be authorized by the Colombian Superintendency of Finance (Superintendencia Financiera de Colombia or the “SFC” by its acronym in Spanish) and will not be registered under the Colombian National Registry of Securities and Issuers (Registro Nacional de Valores y Emisores) or the Colombian Stock Exchange (Bolsa de Valores de Colombia or the “BVC” by its acronym in Spanish), and, accordingly, the Offer to Purchase may not constitute an offer to persons in Colombia except in circumstances which do not result in a public offering under Colombian law and must be carried out in compliance with Part 4 of Decree 2555 of 2010.
This press release may contain forward-looking statements within the meaning of Section 27A of the United States Securities Act of 1933, as amended, and Section 21E of the United States Securities Exchange Act of 1934, as amended, including those related to the Offer. Forward-looking information involves important risks and uncertainties that could significantly affect anticipated results in the future, and, accordingly, such results may differ from those expressed in any forward-looking statements. Ecopetrol is not under any obligation to (and expressly disclaims any such obligation to) update forward- looking statements as a result of new information, future events or otherwise, except as required by law.
View original content:SOURCE Ecopetrol S.A.
Featured image: Megapixl © sardorrr
