Holland & Knight Advises KMA Construcciones on a Credit Facility from Colombian Banks

BOGOTÁ (January 16, 2024) – Holland & Knight advised KMA Construcciones on securing a credit facility from Colombia's Financiera de Desarrollo Nacional, Bancolombia and Itaú Colombia. The contract was signed on Dec. 21, 2023.

Based in Cartagena, Colombia, KMA plans to use the loan to finance its Troncales del Magdalena I and Troncales del Magdalena II projects, while also paying some bridge loans granted by Itaú Colombia and ASB Bank. The lenders issued the first loan disbursement this month.

The Troncales del Magdalena I and Troncales del Magdalena II corridor will complete the works of Sector 2 of the Ruta del Sol highway, connecting Colombia's interior with the Atlantic coast to form an important cargo corridor. Colombia's Agencia Nacional de Infraestructura estimates that these projects will generate more than 100,000 jobs.

Holland & Knight's representation of KMA was led by Partners Camilo Gantiva Hidalgo and Juan Carlos Valencia Marquez and Associates Juan Felipe Fontecha Mejía and Simón Escobar Gomez.

"This credit facility not only demonstrates the banks' trust in KMA, but it also reflects the company's commitment to the ongoing infrastructure projects that will positively impact the development of Colombia," said Mr. Gantiva Hidalgo.

"The development of infrastructure in Colombia is an ongoing project that creates new opportunities and generates jobs," added Mr. Valencia Marquez. "Furthermore, as attorneys at Holland & Knight, we always aim to facilitate the processes that allow the financing and execution of these projects because they benefit the entire financial sector."