Ecopetrol Announces Successful Auction Result for the Acquisition of Approximately 25% of the Share Capital of Brava Energia S.A.

Ecopetrol S.A., Colombia's largest oil and gas company, has successfully completed an auction for the acquisition of 116,110,717 common shares of Brava Energia S.A., representing approximately 25% of Brava's issued share capital. The auction took place on August 5, 2026, through the B3 S.A. securities exchange in Brazil, with shares purchased at a price of R$23.00 each. This transaction is part of Ecopetrol's broader strategy to acquire a controlling interest in Brava, aiming for a total ownership of approximately 51% of the company's voting share capital.

Ecopetrol's Brazilian subsidiary, Ecopetrol Investimentos do Brasil Ltda., led the acquisition process, which followed the fulfillment of all regulatory requirements and conditions precedent. The strong market demand for the shares indicates a positive reception of Ecopetrol's strategic direction in Brazil, a key market for the company. The auction's success aligns with Ecopetrol's plans to enhance its portfolio in the energy sector and establish a more significant presence in Brazil's competitive market.

Brava Energia S.A. operates within the energy sector, focusing on the exploration and production of oil and gas. The acquisition of shares is expected to provide Ecopetrol with increased operational synergies and market leverage in Brazil, where the company already has a notable presence through various investments in energy infrastructure. The move is consistent with Ecopetrol's strategy to diversify its asset base and increase its foothold in the Latin American energy market, particularly in a region rich in hydrocarbon resources.

The financing for this transaction will initially be supported by a short-term credit facility, with plans for a longer-term refinancing strategy involving both debt and equity contributions. This approach aims to maintain a sustainable capital structure while adhering to the company's leverage targets and credit ratings. The successful completion of this auction is a significant step towards Ecopetrol's goal of achieving a controlling interest in Brava, thereby positioning itself for future growth.

Overall, this transaction reflects the ongoing consolidation trend within the energy sector, particularly in Latin America, where companies are increasingly seeking to enhance their market positions through strategic acquisitions. As Ecopetrol continues to expand its operations and influence in Brazil, the implications for market dynamics could be substantial, potentially leading to increased competition and innovation in the region's energy landscape.