EEB is a leading energy company in Colombia and other Latin American countries. It operates across various areas of the energy sector including electricity transmission and distribution, natural gas transportation and distribution, and electricity generation. EEB has a strong presence in Colombia, Peru, Guatemala and other markets through various subsidiaries. It has ambitious investment plans for the 2013-2017 period to expand its electricity and gas infrastructure. EEB has consistently delivered stable financial results with growing revenues and earnings. It also provides attractive dividends to shareholders.
1. Empresa de Energía de Bogotá - EEB
A Regional Leader in the Energy Sector
2. Disclaimer
The information provided herein is for informational and illustrative purposes only and is not, and does not seek to be, a source of legal or financial advice on any subject. This information does not constitute an offer of any sort and is subject to change without notice.
EEB expressly disclaims any responsibility for actions taken or not taken based on this information. EEB does not accept any responsibility for losses that might result from the execution of the proposals or recommendations presented. EEB is not responsible for any content that may originate with third parties. EEB may have provided, or might provide in the future, information that is inconsistent with the information herein presented.
3. EEB Overview Transportation and distribution of energy with involvement in other areas in the energy sector
Focus on natural monopolies
Growth in controlled subsidiaries
Sound regulatory framework
Ample access to capital markets
3
100%*
100%*
4. Leaders in every market
Electricity transmission
Market share (%)
(Km of 220-138 kV lines )
Electricity transmission
Market share (%)
(Km of lines)
Electricity distribution
Market share (%)
(Kwh)
Electricity generation
Installed Capacity (%)
(Generation)
# 1 Peru
# 2 Colombia
# 1 Colombia
# 2 Colombia
Gas distribution
Market share (%)
(No. clients)
59.0%
Gas transportation
Market share (%)
(Average volume transported)
88.0%
Gas distribution
Market share (%)
(No. clients)
100.0%
# 1 Colombia
# 1 Colombia
# 1 Perú
57.6%
8.22%
26.6%
20.72%
Electricity transmission
Project ongoing
(850 Km L/T and 24 S/E)
# 1 Guatemala
*Estimated market share once in operation. 4
10. Consolidated Financial Results
Evolution EBITDA
81%
67%
56%
55%
61%
44%
45%
48%
47%
19%
33%
44%
45%
39%
56%
55%
52%
53%
2006
2007
2008
2009
2010
2011*
2012**
2013
2014 IIQ LTM
Consolidated Adjusted EBITDA & Normalized Dividends
(USD Million)
Operational EBITDA
Dividends
240.9
471.3
416.4
515.6
586.4
818.5
921.7
705.0
1,047.5
Normalized Dividends: *2010 excludes dividends declared based on an early close of Gas Natural’s, Emgesa’s and Codensa’s financial statements. These figures are included in 2011, when such dividends would normally have been declared.** Anticipated dividends declared by Codensa on first half 2011, were included in 2012.
10
12. CAPEX Exec. 2013: USD 35.1 mm
CAPEX Exec. 2Q 14: USD 22.6 mm
Total Investment: USD 120.5 mm
Construction: Sabana Station: 68.8%
Planning: Regional Syst.
Full operation: 4Q 14
CAPEX Exec 2013: USD 97.5 mm
CAPEX Exec 2Q 14: USD 41 mm
Total investment: USD 403 mm
By the end of 2016 it is expected to have 455,000 customers connected.
CAPEX Exec 2013: USD 32.4 mm / 2Q 14: USD 24.7 mm
Total Investment: USD 611.5 mm
Under Construction 2Q 14:
Armenia – 56.23%, Tesalia – 66.74%, Chivor II Norte – 28%
SVC Tunal – 63.4%. Recently awarded projects: Bolívar- TermoCartagena, Sogamoso-Norte-Nueva Esperanza.
CAPEX Exec. 2013: USD 104.5 mm
CAPEX Exec. 2Q 14: USD 10.5 mm
Total investment: USD 358 mm
Under construction: 2Q 14: 94%
Full operation 2Q 14
CAPEX Exec. 2013: USD 82.4 mm
CAPEX Exec. 2Q 14: USD 31.5 mm
Total Investment: USD 376 mm
Started operation (partially): 4Q13
Under construction: 2Q 14: 79%.
Delivered 2015
CAPEX Exec. 2013: USD 1.9 mm
CAPEX Exec. 2Q 14 : USD 3 mm
Total Investment: USD 111 mm
Under construction 2Q 14: 7%
Full operation 2014-15
CAPEX Exec. 2013: USD 31.8 mm
CAPEX Exec. 2Q 14: USD 13 mm
Total Investment: USD 114 mm
Electricity Transmission
Natural Gas Transportation
Natural Gas Transportation and Distribution
Natural Gas Distribution
Electricity Transmission
Consolidating the Strategy Controlled Subsidiaries
Engineering and related services
Electricity Transmission:
CAPEX Executed 2013: USD 385.7 mm; 2Q 14: USD 146.31 mm
12
13. CAPEX Exec. 2013: USD 145.7 mm
CAPEX Exec. 2Q 14: USD 58 mm
Projects executed:
New and existing demand
Quality service and continuity
Control operational risk
CAPEX Exec. 2013: USD 96.7 mm
CAPEX Exec. 2Q 14: USD 53 mm
Total Investment: USD 545.9 mm
Extensions and new concessions; 2013 - 2014
CAPEX Exec. 2013: USD 333.6 mm / 2Q 14: USD 199 mm
Quimbo Project (400 MW)
Total investment: USD 1,093 mm
Exec 2013: USD 279 mm
Accum. Exec: USD 564.8 mm - Execution 1Q-14: 64.8%
CAPEX Exec 2013: USD 20.5 mm
CAPEX Exec 2Q 14: USD 29 mm
Total Investment: USD 150.9 mm
Extensions and new concessions; 2013 - 2014
CAPEX Exec. 2013: USD 49.5 mm
CAPEX Exec. 2Q 14: USD 19 mm
Total investment: USD 137 mm
Liquefaction Plant: Invest. USD 34 mm
Pipeline Mamonal – Sincelejo: USD 70 mm
CAPEX Exec. 2013: USD 15.5 mm
CAPEX Exec. 2Q 14: USD 6 mm
Electricity Generation
Electricity Distribution
Electricity Transmission
Electricity Transmission
Natural Gas Transportation and Distribution
Natural Gas Distribution
CAPEX Executed: 2013 USD 661.4 mm; 2Q 14: USD 364.1 mm
13
Consolidating the Strategy Non-Controlled Subsidiaries
14. Financial Plan 2013-2017 Investments & Funding Sources
2013 -2017 Funding Sources
USD Millon
Cash Generation
1,937.5
Financial debt
3,278.6
Third Parties (Contributions of Capital)
10.0
Sources to be defined
2,320
TOTAL INVESTMENTS
7,546.1
Composition of Investments
M&A: 67%
Capex: 33%
14
1.41
1.60
1.48
1.39
1.25
4.5
2Q 13
3Q 13
4Q 13
1Q 14
2Q 14
Net Debt / Consolidated Ajusted EBITDA
Net Debt / Consolidated Ajusted EBITDA
OM <
13.18
9.10
11.06
10.96
11.44
2.5
2Q 13
3Q 13
4Q 13
1Q 14
2Q 14
Consolidated Adjusted EBITDA / Interests
Consolidated Adjusted EBITDA / Interests
OM >
OM: Offering Memorandum of USD.749,000,000 EEB 6.125% Senior Notes due 2021
As of June 2014 is already executed USD 1,240 Mm
16. Access to Capital Markets
GEB Transactions
USD Million
16
EEB
Baa3
BBB-
BBB-
TGI
Baa3
BBB-
BBB-
CÁLIDDA
Baa3
BBB-
BBB-
17. EEB Share Performance
Ticker EEB:CB
As of June 30th, 2014 EEB’ market capitalization was USD 8.15 Billion
Trading volume tripled after the Equity Offering Nov 2011.
The stock is part of COLCAP, COL20, and COLEQTY
Average Target Price As of 2Q 2014: USD 0.96 COP 1,813
EEB Share Performance 2Q 2013 – 2Q 2014
17