Peru’s Electro Dunas makes first debt issuance

Electro Dunas, a subsidiary of Grupo Energía Bogotá (GEB) in Peru, has made a successful inaugural bond placement with debt terms of five and 10 years.

Electro Dunas, a subsidiary of Grupo Energía Bogotá (GEB) in Peru, has made a successful inaugural bond placement with debt terms of five and 10 years.


The issuance totaled S/296 million ($82 million) and is the company’s first in the Peruvian market.

The issuance was made in two tranches,  totaling S/65.5 million for a term of five years, and S/230.5 million for a term of 10 years.

The issuance rate for the five-year tranche was 2.75%, while the issuance rate for the 10-year tranche was 4.59%.

This was the first issuance of a corporate bond by a non-financial entity in the local capital market since November 2019.

The bonds were rated AAA (Pe) by Apoyo & Asociados and AAA by Class & Asociados.

Electro Dunas provides electricity distribution and commercialization services within its concession area

The issuance was three-times oversubscribed, with investor orders for S/649 million ($179.8 million), widely exceeding the amount sought by Electro Dunas, with demand from pension funds, insurance companies and mutual funds stands out.

The results confirm the credit quality of Electro Dunas and position it as a relevant new issuer in the local capital market, the company said.

“Electro Dunas will refinance liabilities used to execute its investment plan in line with its commitments to improve the quality of service and meet the growth in demand, and to continue expanding and improving the electricity grid in its area of operation,” the company said in a statement.

“Access to the capital market in excellent financial conditions generates financial flexibility to enable the execution of the investment plan in the network,” Juan Ricardo Ortega, President of GEB, said.

Electro Dunas was advised on the issuance by local law firm Rubio Leguía Normand, with a team led by partner Carlos Arata, with associate Helga Hualpatuero.

“The issuance is the first made by Electro Dunas, and involved a certain level of complexity, as it involved the joint analysis of both the Public Register of the Securities Market and the General Public Offerings Regime, which sets a precedent for future emissions,” the law firm said.

Credicorp Capital acted as positioning and structuring agent, and was advised by  Estudio Payet Rey Cauvi Pérez, with a team led by partner Eduardo Vega, with associates Rocío Gordillo and María Fernanda Ríos Grau.

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