TPE´S ISSUE - A SIGNIFICANT MILESTONE IN PLMB FINANCING

The Bogotá Metro Company, in charge of the planning, structuring, construction, operation, exploitation and maintenance of the Bogotá metro, published on Tuesday July 28 the results of the first issue of the Payment for Execution Titles (TPEs). These resources are intended to finance part of the construction of the First Line of the Bogotá Metro (PLMB).

The issue consisted of 2.4 million titles, with a 23-year term, which will constitute a total of $ 2.4 trillion, which will be used for the adaptation and construction of the system. The TPEs will be backed by the Nation, and will continue to be in the custody of the EMB, until the constructor delivers contractual execution units for component C of remuneration, at which time they will be delivered as part of the payment. From that moment, the holder will have free disposition of the titles and will receive the principal and interest payments. The payment of the titles will be biannual for 23 years (46 periods). The first payment will be made on May 15, 2023 and the last payment will be made on November 15, 2045.

The registration of the TPEs will be in charge of the Centralized Deposit of Securities of Colombia (DECEVAL), entity in charge of the reception in deposit of the titles registered in the National Registry of Securities, providing the market with a comprehensive, efficient and safe system for the control and administration of the life cycle of the securities and they may be negotiated by their holders, as well as serve as collateral in other stock market operations. It is necessary to highlight that these options will provide liquidity to the concessionaire and guarantee the possibility for any interested party to invest in this figure.

The Metro de Bogotá Company will pay the Concessionaire in cash, both in Pesos and in USD, as well as with TPEs when completing each unit of contractual execution.