Grupo Aval Acciones Y Valores S.A. (Incorporated in the Republic of Colombia)
Total Page：16
File Type：pdf, Size：1020Kb
Prospectus 81,481,481 American Depository Shares 14SEP201217080991 Grupo Aval Acciones y Valores S.A. (incorporated in the Republic of Colombia) This is the initial public offering of our American Depositary Shares, or ‘‘ADSs.’’ Each ADS represents 20 preferred shares, par value Ps 1.00 per share. We are offering 81,481,481 ADSs at an initial public offering price of U.S.$13.50 per ADS. Prior to the offering, no public market existed for our ADSs. Our ADSs have been authorized for listing, subject to official notice of issuance, on the New York Stock Exchange, or ‘‘NYSE,’’ under the symbol ‘‘AVAL.’’ Our preferred shares are listed on the Colombian Stock Exchange (Bolsa de Valores de Colombia) under the symbol ‘‘PFAVAL.’’ The closing price of our preferred shares on the Colombian Stock Exchange on September 22, 2014 was Ps 1,430.0 per preferred share, which is equivalent to approximately U.S.$0.73 per preferred share or U.S.$14.54 per ADS, based on the representative market rate of Ps 1,966.89 per U.S.$1.00 as computed and certified by the Superintendency of Finance (Superintendencia Financiera de Colombia) on September 22, 2014. Holders of our non-voting preferred shares and ADSs are entitled to receive dividends equal to that paid to the holders of our common shares, subject, in the case of holders of ADSs, to the deduction of the fees of the depositary and the costs of foreign exchange conversion. Although we have not adopted a dividend policy, since we first issued preferred shares in 2011, we have declared and paid cash dividends per preferred share of Ps 49.20 (U.S.$0.026) with respect to our 2012 net income and of Ps 53.10 (U.S.$0.028) with respect to our 2013 net income. The decision whether to pay any future dividend, as well as the amount of any such dividend, will depend on many factors, such as our and our subsidiaries’ results of operations, financial condition, cash requirements, prospects and other factors deemed relevant by our board of directors and shareholders. See ‘‘Dividends and dividend policy’’ and ‘‘Description of share capital—Dividends—Preferred shares.’’ Per ADS Total Offering price ................................... U.S.$13.50000 U.S.$1,099,999,993.50 Underwriting discounts and commissions(1) ............... U.S.$ 0.30375 U.S.$ 24,749,999.85 Proceeds to us (before expenses) ...................... U.S.$ 13.19625 U.S.$ 1,075,249,993.65 (1) We have agreed to reimburse the underwriters for certain expenses in connection with this offering. See ‘‘Underwriting.’’ We have granted the underwriters an option for a period of 30 days after the date of this prospectus to purchase from us up to 12,222,222 additional ADSs to cover over-allotments, if any. Neither the U.S. Securities and Exchange Commission nor any state securities commission has approved or disapproved of these securities or passed on the adequacy or accuracy of this prospectus. Any representation to the contrary is a criminal offense. Investing in the ADSs involves a high degree of risk. See ‘‘Risk factors’’ beginning on page 26 of this prospectus for certain factors you should consider before investing in the ADSs. Delivery of the ADSs will be made on or about September 26, 2014. Global Coordinators and Joint Bookrunners J.P. Morgan Goldman, Sachs & Co. Joint Bookrunners Citigroup Morgan Stanley September 22, 2014 Table of contents Page Presentation of financial and other information ...................................... iv Summary ................................................................ 1 The offering .............................................................. 18 Summary financial and operating data ............................................ 21 Risk factors .............................................................. 26 Forward-looking statements ................................................... 56 Use of proceeds ........................................................... 58 Market information ......................................................... 59 Capitalization ............................................................. 63 Dilution ................................................................. 64 Exchange rates ............................................................ 65 Selected financial and operating data ............................................. 66 Selected statistical data ...................................................... 76 Operating and financial review and prospects ....................................... 137 Industry ................................................................. 355 Business ................................................................. 365 Supervision and regulation .................................................... 449 Management .............................................................. 478 Principal shareholder ........................................................ 491 Related party transactions .................................................... 492 Dividends and dividend policy .................................................. 497 Description of share capital ................................................... 501 Description of American depositary shares ......................................... 511 Taxation ................................................................. 525 Underwriting .............................................................. 532 Expenses of the offering ...................................................... 543 Legal matters ............................................................. 543 Experts ................................................................. 543 Service of process and enforcement of judgments .................................... 544 Where you can find more information ............................................ 546 Index to financial statements .................................................. F-1 The ADSs may not be offered or sold, directly or indirectly, in Colombia or any other jurisdiction or to any resident of Colombia or any such jurisdiction, except as permitted by applicable Colombian law or the laws of any such jurisdiction. The preferred shares have been registered with the Colombian National Registry of Securities and Issuers (Registro Nacional de Valores y Emisores) and listed on the Colombian Stock Exchange. Neither the registration of the preferred shares with the Colombian National Registry of Securities and Issuers nor the listing of the preferred shares on the Colombian Stock Exchange should be understood as a rating or assumption of liability by the Superintendency of Finance or the Colombian Stock Exchange with respect to the issuer, price, quality or tradability of the securities or of the issuance, or of our solvency. i In this prospectus, unless the context otherwise requires, the terms: • ‘‘Grupo Aval,’’ ‘‘we,’’ ‘‘us,’’ ‘‘our’’ and ‘‘our company’’ mean Grupo Aval Acciones y Valores S.A. and its consolidated subsidiaries; • ‘‘banks’’ and ‘‘our banking subsidiaries’’ mean Banco de Bogota´ S.A., Banco de Occidente S.A., Banco Popular S.A. and Banco Comercial AV Villas S.A., and their respective consolidated subsidiaries; • ‘‘Banco de Bogota’’´ means Banco de Bogota´ S.A. and its consolidated subsidiaries; • ‘‘Banco de Occidente’’ means Banco de Occidente S.A. and its consolidated subsidiaries; • ‘‘Banco Popular’’ means Banco Popular S.A. and its consolidated subsidiaries; • ‘‘Banco AV Villas’’ means Banco Comercial AV Villas S.A. and its consolidated subsidiary; • ‘‘BAC Credomatic’’ or ‘‘BAC’’ means BAC Credomatic Inc. and its consolidated subsidiaries; • ‘‘Banco BAC de Panama’’ means Banco BAC de Panama, S.A., and its consolidated subsidiaries, formerly known as Banco Bilbao Vizcaya Argentaria (Panama) or ‘‘BBVA Panama’’; • ‘‘Corficolombiana’’ means Corporacion´ Financiera Colombiana S.A. and its consolidated subsidiaries; • ‘‘Grupo Financiero Reformador’’ or ‘‘Grupo Reformador’’ means Grupo Financiero Reformador de Guatemala and its consolidated subsidiaries; • ‘‘Horizonte’’ means AFP Horizonte Sociedad Administradora de Fondos de Pensiones y de Cesant´ıas S.A., formerly known as BBVA Horizonte Sociedad Administradora de Fondos de Pensiones y de Cesant´ıas S.A.; • ‘‘LB Panama’’ means Leasing Bogota´ S.A., Panama and its consolidated subsidiaries; and • ‘‘Porvenir’’ means Sociedad Administradora de Fondos de Pensiones y Cesant´ıas Porvenir S.A. and its consolidated subsidiary. The term ‘‘Superintendency of Finance’’ means the Colombian Superintendency of Finance (Superintendencia Financiera de Colombia), a supervisory authority ascribed to the Colombian Ministry of Finance and Public Credit (Ministerio de Hacienda y Cr´edito Publico´ ), or the ‘‘Ministry of Finance,’’ holding the inspection, supervision and control authority over the persons involved in financial activities, securities markets, insurance and any other operations related to the management, use or investment of resources collected from the public. Unless noted otherwise, references in this prospectus to ‘‘beneficial ownership’’ are calculated pursuant to the definition ascribed by the U.S. Securities and Exchange Commission, or the ‘‘SEC,’’ in Form 20-F for foreign private issuers. In Form 20-F, the term ‘‘beneficial owner’’ of securities refers to any person who, even if not the record owner of the securities, has or shares the underlying benefits of ownership. These benefits include the power to direct the voting or the disposition of the securities or to receive the economic benefit of ownership of the securities.