Odinsa strengthens the trust of the market and its investors with an AA- Stable Outlook rating

  • Fitch Ratings, one of the three main risk rating agencies in the world, confirmed Odinsa’s Ordinary Bonds rating at AA-(col), with a Stable Outlook.
  • This fact continues to consolidate Grupo Argos’s concession company as a solid investment vehicle, since it is awarded to organizations that are highly likely to fulfill their obligations.

Medellín, July 9, 2019 – For the third year in a row, Fitch Ratings has awarded Odinsa, Grupo Argos’s concessions company, an AA-(Col) rating for its Ordinary Bonds totaling COP 400,000 million, and reaffirmed its Stable Outlook. 

“This ratification highlights the trust in the strategic road we have been following with discipline, and it becomes a seal of trust for our investors; in addition to an opportunity to continue strengthening our shares in Colombia’s securities market”, affirmed Mauricio Ossa, CEO of Odinsa.

The agency pointed to five key factors it considered in ratifying the rating: the presence of Grupo Argos as controlling shareholder, its balanced portfolio of concessions, its growing prospective cash flow, its high leverage and ample experience in the infrastructure sector.

According to the Fitch Ratings report, the ratings considered Odinsa’s connection with the credit profile of its parent company Grupo Argos (AAA(col)/Stable), which is based on the existence of strong operational and strategic links. Similarly, it included Odinsa’s experience in developing infrastructure projects in and out of Colombia, the gradual strengthening of the cash received from various concessions in which it participates, and its focus on long-term concessions with predictable income.

The AA- rating awarded to Odinsa is in the top category of debt issues, which feature a high level of certainty about their capacity to pay in the short term. In other words, these issues are very attractive for investors, who see Fitch’s opinion as an important reference for decision-making.

More about the key factors highlighted by Fitch Ratings:

  • The agency issued a positive assessment on the presence of Grupo Argos as the controlling shareholder (99.8%), which aligns Odinsa’s guidelines and policies with those of the Group, and which also upgraded its rating to AAA(Col), thus consolidating its support for Odinsa.
  • Balanced concessions portfolio: It involves the operation of long-term concessions with predictable income, which helps offset, to a certain extent, the volatility of the revenue and the risk profile associated with construction. 

In this regard, it highlights the strong performance displayed by Odinsa’s concessions in the first quarter of 2019, from which the company received revenue totaling COP 199,240 million and EBITDA of COP 141,802 million.

  • Experience: the accumulation of ample experience in managing, building and operating road and airport infrastructure projects With over 25 years in the sector, Odinsa has participated in the consolidation of strategic projects, and at this time, it holds 4 concessions in Colombia, 1 in Ecuador, 1 in Aruba and 2 in Dominican Republic.

Its main projects include:

  • El Dorado Airport in Colombia: in the first half of the year, this airport moved over 16 million passengers, reporting an increase of 18% in passengers paying the airport fee compared to the previous year. In addition, El Dorado has positioned itself as a green airport in the region, having received several awards, including the international Outstanding Sustainability Program award and the Carbon Footprint accreditation. See more
  • Conexión Pacífico 2 in Colombia: in the second half of the year it inaugurated the second functional unit (out of 5 roads), and to date it reports over 70% works completion. See works completion video
    • Mariscal Sucre Airport in Ecuador: positioned by Skytrax as the Best Airport in South America, completing 6 years of operations in 2019 during which time it has contributed to the country’s connectivity. See more
  • High leverage: the materialization of the many strategies undertaken by the company to strengthen its capital structure and cash flow generation could result in a ratings upgrade.

For additional information contact:

Viviana Arroyave, Director of Communications / varroyave@odinsa.com / +57 3176469218

Odinsa highlighted management of Autopistas del Café in the first half of 2019

  • The concession closed the first half of the year with a positive balance and traffic of over 5 million vehicles.
  • At this point in 2019, over 100,000 people have visited its user assistance centers (Tambos) and just over 3,600 travelers used their assistance services.
  • Autopistas del Café also reported progress in Addendum 20 with the start of works and completion of some designs.

Medellín, July 22, 2019. Grupo Argos’s concession company Odinsa highlighted the performance of Autopistas del Café’s operations and indicated that thanks to its user-focused efforts, it attained a positive balance in the first half of 2019, contributing to regional connectivity and strengthening the Coffee Belt as one of the main road networks in Colombia.

With regard to infrastructure, Odinsa indicated that the concession made progress in the materialization of works stipulated in Addendum 20, which was signed in 2018, emphasizing that some of the studies and designs described therein have been completed. These include the nine pedestrian bridges in Playa Rica and Guacarí in Risaralda; stabilizing the embankment at K24+380 in Valle del Cauca; and the intersections in El Caimo district, La Tebaida and Filandia municipality in Quindío, standing at 50% works completion. Additionally, installation of the El Rosario Pedestrian Bridge located in the Chinchiná – La Manuela Highway in Manizales, which will be operation in the third quarter of the year.

Moreover, other services intended to provide users with a good experience include the Tambos, or user assistance centers, which have become tourist landmarks, because they are spaces where visitors can enjoy beautiful landscapes and the coffee culture, as well as free services such as bathrooms, telephones, parking, Internet and cafeterias. In the first half of the year, over 100,000 visitors enjoyed these four Tambos: El Edén in Armenia; El Privilegio in Santa Rosa de Cabal; Jardín Filandia and La Manuela in Manizales. 

In addition, the concession renewed its mobile application to provide tourists and locals alike a more personalized experience: Autopistas del Café. With the app, users can search for road conditions in real time and get information about tourist attractions, request assistance if needed, and get discounts at restaurants located along the highway.

 “We are excited to see how Autopistas del Café continues to support regional connectivity with its timely services, the execution of top-quality projects, contributions to social development, and generation of positive experiences for its users,” said Mauricio Ossa, CEO of Odinsa. 

With regard to its social and environmental management, which constitutes a fundamental pillar for Autopistas del Café, and in line with Odinsa policies, in the first half of the year the concession engaged in various activities, including trainings and workshops focused on road safety for over 1000 children from 22 schools; reforestation of 25 hectares with 27,500 trees planted to protect the source of the Quindío River; and the construction of 250 individual septic systems in Manizales, Pereira, Santa Rosa, Circasia, Salento and Filandia.

Furthermore, in order to promote road safety and facilitate user mobility, the concession, together with the Highway Police, provided 1500 sessions for training, support and preventive highway plans to raise awareness among users about this important topic.

“In the second half of the year we will continue working together with our shareholder Odinsa to promote regional connectivity, encouraging safe mobility, strengthening our services and implementing technological improvements that provide an excellent experience to the users that travel through one of Colombia’s most representative regions,” said Autopistas del Café’s Manager, Mauricio Vega.

For more information contact:

Viviana Arroyave, Director of Communications I +57 3176469218 I varroyave@odinsa.com

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Odinsa obtains outstanding results because of its corporate strategy

  • With EBITDA of COP 532,322 million and a 12% variation year over year, among other indicators, the company ratified its solid position with outstanding results in 2018.
  • Over 27 million vehicles traveled on its concession roads, and nearly 38 million passengers passed through its airports.
  • In 2019 the company will promote the development of various initiatives, continuing to contribute to the current and future competitiveness of the countries where it operates.

Medellín, March 26, 2019 – After the disciplined execution of its strategic focus, Odinsa, a Grupo Argos concessions company, reported positive results today at its General Shareholders Meeting for its 2018 operations. This was a year in which Odinsa solidified its position as a strong, reliable and sustainable company that facilitates connectivity, and with its experience and future vision, it will certainly contribute to competitiveness in the territories by developing its initiatives.

The company attained positive results EBITDA of COP 532,322 million, a controlling net profit of COP 135,440 million and consolidated revenue of COP 788,025 million, leveraged in the management executed in each of its projects and its focus on sustainable development of its businesses, which allows it to generate value and strengthen connectivity in the countries where it operates.

Grupo Argos’s concessions company closed the year with actions that show the trust of the market and its stakeholders in its endeavors, including ratification of the AA-(Col) ratings by Fitch Ratings; the Issuer Recognition (IR) award from the Colombian Securities Exchange (BVC); the Best Loan by LatinFinance for the successful process of financing Pacífico 2; the Adecco Employers for Youth recognition as one of the companies chosen by young people to work for, and various recognitions in each of its concessions.

“Our results have reaffirmed our position as a solid company that manages a portfolio of valuable and profitable assets and its strengthening to continue developing high-impact initiatives and projects,” stated Mauricio Ossa, CEO of Odinsa.

Its airport concessions, which moved nearly 38 million passengers, had an outstanding performance, with a 6% increase in passenger traffic, and notable events such an increase in new routes and frequencies, the 4-star rating and ratification of important recognitions from Skytrax, and environmental certifications that positioned Mariscal Sucre and El Dorado as sustainable airports in the region.

Its road concessions reported over 27 million vehicles and a positive management dynamics, with important milestones that include successful works completion at Pacífico 2, which reached 59% execution at the end of the year; signing an Addendum for the design and execution of additional works at Autopistas del Café, and completion of the Green Corridor project in Aruba.

These facts, added to Grupo Argos’s support and the alignment to its policies, reinforced the trust of the market and stakeholders in Odinsa, and strengthened the company to take on challenges and develop comprehensive solutions with new connections and services for users in 2019.

For additional information contact: 

Andrea Jimeno / Djrector of Communications  ajimeno@odinsa.com / Cell:+57 3134964741

Viviana Arroyave / Media and Communications Manager varroyave@odinsa.com / Cell: +57 3176469218

Check out our 2018 Annual Report at https://www.odinsa.com/