{"id":32362,"date":"2024-05-09T05:12:00","date_gmt":"2024-05-09T10:12:00","guid":{"rendered":"https:\/\/latamobility.com\/?p=32362"},"modified":"2024-05-08T19:17:11","modified_gmt":"2024-05-09T00:17:11","slug":"metro-de-medellin-approves-sustainable-bond-issue","status":"publish","type":"post","link":"https:\/\/latamobility.com\/en\/metro-de-medellin-approves-sustainable-bond-issue\/","title":{"rendered":"Metro de Medell\u00edn Approves Sustainable Bond Issue"},"content":{"rendered":"\n
Metro de Medell\u00edn successfully completed the necessary procedures to issue, for the first time in its history, sustainable bonds for $350,000 million.<\/strong><\/p>\n\n\n\n The funds will be used to finance important strategic projects required by the Company in the short and medium term.<\/p>\n\n\n\n According to Metro de Medell\u00edn’s official website, in the securities market, bonds are equivalent to a loan financing mechanism, whereby the issuing entity receives funds for which periodic interest is paid and the borrowed funds are repaid at the end of the agreed term.<\/strong><\/p>\n\n\n\n The operation is a type of loan, so it does not represent a change of shares or participation in the shares for its owners, the District and the Governor’s Office; therefore, it is not a privatization.<\/p>\n\n\n\n The bond issue represents a major milestone for the Company because it positions it in the highest national and international standards of management and administration, allowing it to access the securities market where there is a greater amount of resources with lower financing costs and longer payment terms than in the traditional financial market.<\/p>\n\n\n\n This translates into more convenient debt repayment installments that are in line with the Company’s cash flow.<\/p>\n\n\n\nKey Milestone<\/strong><\/h2>\n\n\n\n