Bancolombia trust gets refinancing

Bancolombia trust gets refinancing

13 May 2020

Mendoza Abogados has helped a syndicate of Colombian banks provide a US$79 million refinancing to a fiduciary trust managed by Bancolombia.

The borrower, Patrimonio Autónomo TucCrédito, and the guarantor, Credivalores Crediservicios, turned to their in-house counsel for the transaction, which closed on 27 April.

The transaction was made in two portions. In the first tranche, the lenders refinanced US$56 million of Patrimonio Autónomo TuCédito’s existing debt. That was followed by a new US$23 million loan to the trust.

The borrower will use the money to purchase receivables from financial services provider Credivalores Crediservicios. The finance company, which also guaranteed the transaction, will use the proceeds of the receivables sale to fund its TuCrédito business, which provides financing solutions to small to medium-sized businesses (SMEs).

Credivalores Crediservicios is among the largest retail lenders in Colombia. It offers corporate loans, credit cards and micro-lending solutions, among other services.

Counsel to Bancolombia, Banco de Bogotá, Banco de Occidente, Banco Santander and Banco Multibank

In-house counsel to Bancolombia – Maria Camila Silva, Ana María Bonilla and Jaime Enrique Medina

In-house counsel to Banco de Bogotá – Juanita Cubides, Jaime Alberto Diaz and Ana María Gonzalez

In-house counsel to Banco de Occidente – Rodrigo Herrera,

In-house counsel to Banco Santander – Ximena Cortés and Luisa Echeverry

Mendoza Abogados

Partner Mateo Mendoza and associates Maria Elvira Borrero and Daniel Taboada

Counsel to Patrimonio Autónomo TuCrédito

In-house counsel – Francis Torres

Counsel to Credivalores Crediservicios

In-house counsel – Liliana Arango

Source: LatinLawyer