Ecopetrol (NYSE: EC) lines up USD 1.25B SOFR-linked loan for debt refinancing
Rhea-AI Filing Summary
Ecopetrol S.A. obtained authorization from Colombia’s Ministry of Finance and Public Credit to execute a new loan of up to USD 1.25 billion as part of its debt management strategy. The facility will be provided by Banco Bilbao Vizcaya Argentaria S.A. New York Branch, Bank of America N.A., JP Morgan Chase Bank N.A., and Bank of China Limited – Panama Branch.
The loan will have a five-year term from signing, be repaid in four equal installments, and carry a floating interest rate indexed to SOFR. Ecopetrol plans to use the funds mainly to repay a USD 1.2 billion loan originally used to acquire its stake in Interconexión Eléctrica S.A. E.S.P. and USD 50 million of another USD 500 million loan.
The agreement, governed by New York law, includes customary events of default that can trigger early repayment, as well as a right for Ecopetrol to seek recourse if lenders fail to disburse funds. Ecopetrol highlights that the terms support its strategy to reduce debt costs and optimize its maturity profile.
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Insights
Ecopetrol refinances external debt with a USD 1.25B five-year loan.
Ecopetrol secured authorization for a USD 1.25 billion syndicated loan to refinance existing obligations. The proceeds are earmarked for repaying a USD 1.2 billion acquisition loan for Interconexión Eléctrica S.A. E.S.P. and USD 50 million from a separate USD 500 million facility.
The new facility has a five-year term, four equal amortization installments, and a floating rate tied to SOFR, which shifts interest cost sensitivity toward short-term U.S. dollar rates. Covenants and events of default are described as customary, including non-payment, weakened payment capacity, issues with financial information integrity, and covenant breaches.
The company notes that the transaction fits its strategy to reduce debt costs and optimize maturities, suggesting a focus on liability management rather than incremental leverage. Future disclosures in company filings may provide more detail on achieved interest savings and the resulting debt maturity profile.
Key Figures
Key Terms
SOFR financial
events of default financial
external public debt management financial
forward-looking statements regulatory
covenants financial
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 6-K
REPORT OF FOREIGN PRIVATE ISSUER
PURSUANT TO RULE 13a-16 OR 15d-16 UNDER
THE SECURITIES EXCHANGE ACT OF 1934
For the month of April, 2026
Commission File Number 001-34175
| ECOPETROL S.A. |
|
(Exact name of registrant as specified in its charter)
|
| N.A. |
|
(Translation of registrant’s name into English)
|
| COLOMBIA |
|
(Jurisdiction of incorporation or organization)
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| Carrera 13 No. 36 – 24 |
| BOGOTA D.C. – COLOMBIA |
| (Address of principal executive offices) |
Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.
Form 20-F x Form 40-F ¨
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1)
Yes ¨ No x
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7)
Yes ¨ No x
Indicate by check mark whether the registrant by furnishing the information contained in this form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.
Yes ¨ No x
If “Yes” is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b): 82- N/A
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
| Ecopetrol S.A. | ||||
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By: |
/s/ Alfonso Camilo Barco | |||
| Name: |
Alfonso Camilo Barco |
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| Title: | Chief Financial Officer | |||
Date: April 2, 2026
Ecopetrol S.A. obtains authorization to carry out a debt management transaction of up to USD 1.25 billion
Ecopetrol S.A. (BVC: ECOPETROL; NYSE: EC) (“Ecopetrol” and together with its subsidiaries, the “Ecopetrol Group”) hereby reports that, as part of its comprehensive debt management strategy, through Resolution No. 0666 dated April 1, 2026, the Ministry of Finance and Public Credit (“MHCP”) authorized the execution of a loan of up to USD 1.25 billion.
The lenders participating in the loan are: Banco Bilbao Vizcaya Argentaria, S.A. New York Branch (USD 350 million), Bank of America, N.A. (USD 350 million), JP Morgan Chase Bank, N.A. (USD 350 million), and Bank of China Limited – Panama Branch (USD 200 million). The term of the loan will be five (5) years as from the execution date of the agreement, repayable in four (4) equal installments and bearing a floating interest rate indexed to the SOFR rate, under the terms previously agreed with the lenders.
This loan was authorized within the framework of a request submitted by Ecopetrol to execute an external public debt management. The transaction involves: (i) repayment of the USD 1.2 billion loan authorized by the MHCP under Resolution No. 0652 dated March 20, 2024, originally entered into for the acquisition of Ecopetrol’s ownership interest in Interconexión Eléctrica S.A. E.S.P; and (ii) repayment of USD 50 million of the outstanding balance of the USD 500 million loan authorized by the MHCP under Resolution No. 0910 dated April 25, 2025.
The MHCP has reviewed and authorized the terms of the loan agreement, which includes customary borrower events of default, such as failure to pay principal or interest, potential impairment of the borrower’s payment capacity, impairment of the integrity of its financial information, and breach of covenants. If any such event occurs, the lenders may demand early repayment of the debt, following the procedure set forth in the agreement. The agreement also provides Ecopetrol with the right to seek recourse against the lenders if they fail to disburse funds as required. The agreement is governed by the laws of the State of New York.
The terms of this agreement demonstrate the international financial sector's support for and confidence in the Ecopetrol Group’s strategy to reduce debt costs and optimize its maturity profile.
All required internal procedures and approvals were completed by Ecopetrol prior to executing the loan.
Bogota D.C., April 1, 2026
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Ecopetrol is the largest company in Colombia and one of the main integrated energy companies in the American continent, with more than 19,000 employees. In Colombia, it is responsible for more than 60% of the hydrocarbon production of most transportation, logistics, and hydrocarbon refining systems, and it holds leading positions in the petrochemicals and gas distribution segments. With the acquisition of 51.4% of ISA’s shares, the company participates in energy transmission, the management of real-time systems (XM), and the Barranquilla - Cartagena coastal highway concession. At the international level, Ecopetrol has a stake in strategic basins in the American continent, with Drilling and Exploration operations in the United States (Permian basin and the Gulf of Mexico), Brazil, and Mexico, and, through ISA and its subsidiaries, Ecopetrol holds leading positions in the power transmission business in Brazil, Chile, Peru, and Bolivia, road concessions in Chile, and the telecommunications sector.
This release contains statements that may be considered forward-looking statements within the meaning of Section 27A of the U.S. Securities Act of 1933, as amended, and Section 21E of the U.S. Securities Exchange Act of 1934, as amended. All forward-looking statements, whether made in this release or in future filings or press releases, or orally, address matters that involve risks and uncertainties, including in respect of the Company’s prospects for growth and its ongoing access to capital to fund the Company’s business plan, among others. Consequently, changes in the following factors, among others, could cause actual results to differ materially from those included in the forward-looking statements: market prices of oil & gas, our exploration, and production activities, market conditions, applicable regulations, the exchange rate, the Company’s competitiveness and the performance of Colombia’s economy and industry, to mention a few. We do not intend and do not assume any obligation to update these forward-looking statements.
For more information, please contact:
Investor Relations Office
Email: investors@ecopetrol.com.co
Head of Corporate Communications (Colombia)
Marcela Ulloa
Email: marcela.ulloa@ecopetrol.com.co