The Colombian state-controlled power generator Isagen SA plans to sell up to 450 billion Colombian pesos ($225 million) of local bonds Tuesday, the company said in an ad published in newspaper La Republica.
The bonds will mature in seven, 10 and 15 years and their yield will be linked to the consumer price index. The yield will be determined in an auction, the company said.
The bond sale is part of series of COP850 billion of bonds, the ad said.
Isagen plans to raise that money to finance investment in new hydropower plants.
Isagen is part of a large group of Colombian companies that have recently sold bonds, taking advantage of high liquidity and low rates.
Shares of Isagen Monday fell 0.9% to COP2,110, while the benchmark IGBC stock index fell 0.3%.
The Colombian government plans to sell its controlling stake in the company by the end of 2009 and use proceeds from the sale, estimated at COP3 trillion, to finance its 2010 budget.
