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Republic of Colombia's Offer for Existing Bonds

On April 20, 2026, the Republic of Colombia officially announced an offer to purchase existing bonds from registered holders. This initiative aims to create liquidity and manage the nation's debt effectively. Here are the key aspects of this announcement:

Overview of the Offer

The cash offer allows bondholders to sell their existing bonds back to the government at predetermined prices. The maximum amount that Colombia will pay for the bonds will depend on various factors determined at their discretion. Notably, this offer does not require any minimum participation from bondholders, allowing for a broad response to the initiative.

The bonds involved in this offer cover a range of fixed purchase prices and maturity dates, reflecting the diverse debt portfolio of the Colombian government. For instance, the existing bonds included in this offer feature amounts outstanding from hundreds of millions to billions of dollars, with varying fixed interest rates and expected maturity years ranging from 2035 to 2061.

In addition to the purchase price, bondholders whose bonds are accepted will also receive any accrued and unpaid interest since the last payment date, up to the settlement date when the transaction is finalized.

Specifics of Existing Bonds

The Colombian government has detailed several series of bonds available for this offer:

• - 8.500% Global Bonds due 2035: Outstanding Principal - U.S.$570,899,000 | Purchase Price - U.S.$1,148.75
• - 8.000% Global Bonds due 2035: Outstanding Principal - U.S.$1,672,750,000 | Purchase Price - U.S.$1,122.50
• - 4.125% Global Bonds due 2042: Outstanding Principal - U.S.$450,831,000 | Purchase Price - U.S.$748.75
• - 5.000% Global Bonds due 2045: Outstanding Principal - U.S.$3,407,203,000 | Purchase Price - U.S.$805.00
• - 5.200% Global Bonds due 2049: Outstanding Principal - U.S.$2,056,674,000 | Purchase Price - U.S.$802.50
• - 4.125% Global Bonds due 2051: Outstanding Principal - U.S.$967,438,000 | Purchase Price - U.S.$688.75
• - 8.750% Global Bonds due 2053: Outstanding Principal - U.S.$845,375,000 | Purchase Price - U.S.$1,175.00
• - 8.375% Global Bonds due 2054: Outstanding Principal - U.S.$1,640,000,000 | Purchase Price - U.S.$1,140.00
• - 3.875% Global Bonds due 2061: Outstanding Principal - U.S.$707,907,000 | Purchase Price - U.S.$648.75

Bondholders may only tender their bonds in specified minimum amounts and will need to continue holding some bonds if they do not tender all of their holdings. The offer remains under Colombia's discretion, with the right to refuse any tenders and adjust purchase amounts as necessary. Should the offer be terminated, all tendered bonds will be returned to the holders.

Timeline for the Offer

The offer commenced immediately on April 20, 2026, and will remain open until April 24, 2026, unless Colombia chooses to extend or terminate it sooner. All accepted tenders will be settled by April 28, 2026. There is also a designated withdrawal deadline enabling bondholders to change their minds before the offer's closing date.

Additionally, comprehensive details, including specific procedures for bondholders to participate and the potential for proration of offers, are available in the official Offer Document that Colombia has provided.

Conclusion

This offer reflects Colombia's proactive approach to managing its financial obligations and providing opportunities for bondholders. The chance to resell bonds at fixed prices along with accrued interest can be beneficial for investors looking to capitalize on current economic conditions. Market participants and investors are encouraged to review the detailed Offer Document and consider their options in the context of this initiative.

For more information, bondholders should consult their brokers regarding appropriate submission procedures and deadlines for participating in this cash offer.