ISAGEN SEEKS TO EXPAND WITH A 4.7 BILLION COP$ PLAN.
The energy generator ISAGEN, which is the third in the country, is seeking to expand their operations and for that, they have a 4.7 billion COP$ plan.
The largest part of that budget is destinated to their biggest infraestructure which is HidroSogamoso, in which the company is placing all their faith and 4.2 billion COP$.
The funding of the hidroelectric has been achieved through the positive cash flow generated by the company and by the issuance of debt in the capital market.
The Hydroelectric in Sogamoso will provide 820 megawatts and could allow the company to increase their market share, which now is placed in 15.30%, and with another projects could increase even more the forecasts.
According to the risk rating Fitch, Isagen has shown a strong cash flow, a very good management and solid financial results. The issuance of debt is controled and if the company finish their work in Sogamoso without any trouble, and continue to control their debt level, could rise the qualification, but if the company fails in those fields, the qualification could drop severely.
Anyhow the indicators of the company remains strong in the last months, the forecast for this years shows an increase in the cash flow and in the financial results, which could mean that the company could rise their qualification, and when this happen surely the share of the company will increase his price in the stock market, so Isagen is a company to follow and would be an interesting investment in the long run.
What do you think? Would you bet on it or would you walk away?