* Demand from local investors said strong
* CorpGroup, CorpBanca's parent, buying Colombia's Helm Bank
SANTIAGO Nov 27 Chilean bank CorpBanca has
issued about $300 million in 24- and 28-year bonds on the local
market to bolster growth plans at home and in Colombia,
CorpBanca said on Tuesday.
CorpGroup, CorpBanca's parent company, signed a deal last
month to buy up to 100 percent of the shares of Colombia's Helm
Bank for around $1.3 billion. Helm would then be merged
with CorpBanca Colombia to create Colombia's fifth-largest bank.
CorpBanca had planned a bond and share issue to fund the
"Even though the external markets offer good liquidity
conditions ... strong demand by local investors prompted us to
issue (the bonds) wholly in Chile," said Pedro Silva, head of
CorpBanca's finance division.
The statement did not include the bonds' yields.
The Chilean bank's chief executive, Fernando Massu, told
Reuters in an interview last month that the bond issue could be
done locally if surprisingly eager domestic investors offer
better prices than do those abroad.
Earlier this month, shareholders of CorpBanca
approved a $600 million share issue to help finance the
acquisition of Helm Bank and also to allow the World Bank's
private investment arm, International Finance Corp, to take a
$225 million stake in CorpBanca.