ICE raised ₡ 72,989 million with bond auctions in the local market

This ICE release was published using machine translation.

The Costa Rican Electricity Institute (ICE) captured ₡ 72,989 million through the National Stock Exchange in the second half of 2021. The share was generated with three auctions of the G1, G2 and G3V series in colones (see box), from Program G for standardized debt issuances, between August and November.

The transactions had new elements, such as the "swap" carried out in August. In this, investors holding ICE bonds, in addition to investing their resources, could exchange their investments close to maturing for a longer-term security. With this movement, ₡ 16,105 million were placed in the G2 series.

On the other hand, on November 4 an auction was held for the placement of the first green bond issued by a company in Costa Rica. This was carried out through the G3V series and the amount raised amounted to ₡ 14,443 million.

The total of offers for this semester reached ₡ 80,951 million, of which the ICE assigned the aforementioned ₡ 72,989 million. With these placements, the Institute improved its maturity profile and reduced its exposure to foreign exchange risk, since part of it was used to cover the amortization of debt denominated in dollars.

“We also reduce the interest rate risk, since these issues have fixed rates. The securities are an alternative for investors who seek to diversify their portfolio by investing in consolidated issuers, such as the Institute, ”explained Juan Carlos Pacheco, ICE's Finance Manager.

He added that "the trust of these investors in the Institution allows us to take advantage of the domestic market windows in a transparent manner and obtain financing under competitive conditions, at attractive placement terms and using different instruments and mechanisms."

The capture of this second semester is part of the actions contained in Strategy 4.0 and the Roadmap for financial sustainability, the integral objective of which is to consolidate the economic stability of ICE.

Recruitment in the second semester  

Series Auction date Amount (in millions)

G1 08-26-2021 ₡ 7.005

1-9-2021 ₡ 3,300

G2 * 8-26-2021 ₡ 38,805

1-9-2021 ₡ 9.436

G3V 4-11-2021 ₡ 14.443

Total: ₡ 72,989

 

* The amount of the G2 series includes the exchange of ₡ 16,105 million that was made from the A1 series to the G2.