Ecopetrol Stock Price, News & Analysis

Ecopetrol S.A. (NYSE: EC) has announced the pricing of its cash tender offer for any and all of its outstanding 5.375% Notes due 2026. The offer expires on October 16, 2024, at 5:00 p.m., New York City time. The Total Consideration for the Securities is $1,011.90 per $1,000 principal amount, based on a Fixed Spread of +45 basis points over the Reference Yield of 4.507%.

The settlement date is expected to be October 21, 2024. Ecopetrol intends to accept for payment and pay the Total Consideration for Securities validly tendered and not validly withdrawn at or prior to the Expiration Time. The offer is conditioned upon the satisfaction of certain conditions, including a Financing Condition related to a concurrent offering of new notes.

Ecopetrol S.A. (NYSE: EC) announces the postponement of the Price Determination Time and extension of the Expiration Time, Guaranteed Delivery Date, and Settlement Date for its cash tender offer to purchase any and all of its outstanding 5.375% Notes due 2026. Key updates include:

- New Price Determination Time: 10:00 a.m., New York City Time on October 16, 2024
- New Expiration Time: 5:00 p.m., New York City Time on October 16, 2024
- New Guaranteed Delivery Date: 5:00 p.m., New York City Time on October 18, 2024
- New Settlement Date: Expected to be October 21, 2024

The offer is conditioned upon the satisfaction of certain conditions, including the Financing Condition related to a concurrent offering of new notes. Holders who have previously validly tendered their Securities do not need to re-tender. The offer remains subject to the terms and conditions set forth in the Offer to Purchase dated October 8, 2024.

Ecopetrol S.A. (BVC: ECOPETROL; NYSE: EC) has announced the liquidation of its subordinate, Ecopetrol Energia S.A.S E.S.P. The decision was unanimously approved by the Shareholders' Meeting, authorizing the liquidator to complete all necessary steps. The liquidation process concluded with the cancellation of the company's commercial registration in early October.

The liquidation was necessary due to regulatory restrictions preventing the same group from simultaneously engaging in energy commercialization and transmission activities. This follows Ecopetrol's acquisition of a majority stake in ISA, an electric power transmission company.

Ecopetrol, Colombia's largest company, is a major integrated energy player in the Americas, with operations spanning hydrocarbon production, transportation, refining, and petrochemicals. The company has also expanded into energy transmission and infrastructure through its ISA acquisition.

Ecopetrol S.A. (NYSE: EC) has announced plans to prepay USD 500 million of its USD 1 billion outstanding balance on a loan agreement with international banks. This prepayment, scheduled for October 18, 2024, will be funded by a USD 250 million external credit from Sumitomo Mitsui Banking and USD 250 million from available cash. The move is part of Ecopetrol's integral debt management strategy, aiming to reduce financial expenses and improve credit metrics. This decision demonstrates the company's solid cash position and ability to optimize financing sources, ultimately increasing shareholder returns.

Ecopetrol S.A. (NYSE: EC) has announced a cash tender offer to purchase any and all of its outstanding 5.375% Notes due 2026. The offer expires on October 15, 2024, at 5:00 p.m., New York City time, unless extended or terminated earlier. The Total Consideration for each $1,000 principal amount of Securities will be calculated based on a Fixed Spread over the Reference Yield of the U.S. Treasury Security.

The offer is part of a concurrent offering of new notes by Ecopetrol. The settlement date is expected to be October 18, 2024. Following the offer, Ecopetrol intends to redeem any remaining outstanding Securities. The offer is subject to certain conditions, including a Financing Condition related to the new notes offering.

BBVA Securities Inc., J.P. Morgan Securities , and Santander US Capital Markets are serving as Dealer Managers for the offer.

Ecopetrol S.A. (BVC: ECOPETROL; NYSE: EC) has announced a permanent appointment in its senior management. Juan Carlos Hurtado Parra has been named as the Vice President of the Upstream segment, effective October 1, 2024. Hurtado Parra, who has been leading the department since June 15, brings 27 years of industry experience to the role.

As Vice President of Upstream, Hurtado Parra will be responsible for increasing company reserves, decarbonizing operations, strengthening the gas portfolio, and driving the traditional business to ensure energy security and support the transition. Ecopetrol, Colombia's largest company, is a major integrated energy company in the Americas, with operations spanning hydrocarbon production, transportation, logistics, refining, and petrochemicals.

Ecopetrol S.A. (NYSE: EC) has announced a name change for its offshore exploration projects in the Colombian Caribbean. This decision comes in compliance with a ruling by the Fourth Labor Court of the Santa Marta Circuit. The project formerly known as 'Uchuva' will now be called SIRIUS, while the project previously referred to as 'Tayrona' will be renamed GUA-OFF-0.

These changes apply to all mentions in the Securities Market Information System (SIMEV) and the SEC's Electronic Data Gathering and Analysis Retrieval (EDGAR) system. The renaming was done in collaboration with Petrobras, Ecopetrol's partner in these projects. Ecopetrol, Colombia's largest company, is a major integrated energy company in the Americas, with significant operations in hydrocarbon production, transportation, refining, and petrochemicals.

Ecopetrol S.A. (NYSE: EC) has successfully settled a partial make whole of its international notes due 2026. The company repurchased US$250 million of the original US$1.5 billion notes issued in 2015. The repurchase price was US$1,014.41 per US$1,000 of principal, totaling US$253,602,675.24 plus accrued interest. This action, announced on August 6, 2024, aligns with Ecopetrol's financial plan and demonstrates its commitment to proactively refinancing its 2026 maturities.

Ecopetrol, Colombia's largest company, is a major integrated energy player in the Americas. It dominates Colombia's hydrocarbon production, transportation, and refining sectors, and has expanded its portfolio to include energy transmission and road concessions through its acquisition of ISA shares.

Ecopetrol S.A. (NYSE: EC) announced the resignation of two independent board members, Juan José Echavarría and Luis Alberto Zuleta, effective upon approval of previous meeting minutes. Their resignation letter reveals a disagreement over a major acquisition project in the Permian Basin, which was initially approved but later halted due to President Gustavo Petro's objections. The project, involving 20-30% of Occidental Petroleum's Crownrock assets, was seen as important for Ecopetrol's future but faced concerns over fracking, increased leverage, and foreign investment. The resignations highlight potential impacts on Ecopetrol's finances and its significant contributions to Colombia's economy, including 4% of GDP and 10-15% of national revenues annually.