Grupo Argos S.A. (BVC:GRUPOARGOS) signed an agreement to Spin-Off Grupo de Inversiones Suramericana S.A. (BVC:GRUPOSURA) on December 18, 2024. In a related transaction, Grupo de Inversiones Suramericana S.A. signed an agreement to Spin-Off its stake in Grupo Argos S.A.. As per the terms of the transaction Grupo Sura will spin off the 286 million shares it holds in Grupo Argos, in favor of all the shareholders of that company.
In turn, Grupo Argos will spin off the 197 million shares it holds in Grupo Sura in favor of all its shareholders. Grupo Sura will absorb the 197 million shares spun off by Grupo Argos and, in the same manner, Grupo Argos will absorb the 286 million shares spun off by Grupo Sura. each company will issue shares equivalent to the number of shares it has just absorbed.
Grupo Argos will issue 286 million shares in favor of all Grupo Sura shareholders in exchange for the own shares it received from Grupo Sura. Since Grupo Argos was one of the shareholders of Grupo Sura, the shares corresponding to Grupo Argos will be canceled, thereby increasing the ownership percentage of all other Grupo Argos shareholders. Meanwhile, the preferred shareholders will receive preferred shares.
At the end of the transaction, each shareholder of Grupo Argos will keep their current shares in Grupo Argos, and will receive 0.23 shares of Grupo Sura for each share they initially held. In the case of Grupo Sura, each shareholder will maintain their current shares in Grupo Sura and will receive 0.72 shares of Grupo Argos for each share they had before the transaction.