IFLR 1000
The Guide to the World's Leading Financial Law Firms

Political stability and a surging economy have helped Colombia emerge from the illegal drug trade and armed rebel entrenchment which previously choked its progress. Although security remains an issue, aggressive crime-fighting tactics begun by former President Álvaro Uribe – and continued by his successor, Juan Manue Santosl – have placated much of the organised crime and violent drug trafficking that plagued the country in the 1990s.

The resulting stabilisation has paid dividends, and the country's economy has flourished - GDP is projected to grow anywhere between 4% and 5.5% in 2011. International investors are also taking notice. Over the past year, ratings agencies Standard & Poor's and Moody's Investor Services upgraded Colombian bonds to investment grade. This opened the door for institutional investors, who typically require investment-grade ratings from two separate agencies.

Unsurprisingly, Colombian lawyers remain bullish on the prospects of Colombia's growing economy. The "increase in foreign investment has been incredible," says one attorney. "The trend is that it won't just stay in minerals." Multiple industries are benefiting, including oil, mining and tourism, and lawyers are seeing an upturn in work in the private equity and project finance areas.

Adding to these strong prospects are the string of free trade agreements (FTAs) which Colombia entered into during 2010. In March of that year, Colombia finalised an FTA with the EU that eased import conditions on Colombian coffee, banana, and sugar exports. This was followed months later by a similar agreement with Canada, which entered into force in July 2011, granting preferential market access to over 33 million well-heeled consumers for Colombian producers. Moreover, passage of the long-stalled Colombian-US FTA seems likely to pass more than ever this year, another welcome development and massive export market.

"We know there will be lots of foreign investment," says one lawyer. It will be needed; the government is planning, or has already started, massive upgrades in multiple infrastructure sectors, including road, rail, airports, ports, and public transport. Projects such as the Las Americas Highway, La Montana Highway, and Central Railway system are well underway.

The ambitious 1071km Ruta del Sol highway concession should draw the most attention due to its ambitious scope and $2.57 billion price tag. The highway's multi-phased construction will slice its way across the country and connect Bogotá to the Pacific coast. The infrastructure upgrades will enable greater travel efficiency and help Colombian production chains capitalise on the increased access to foreign markets created by the FTAs.

"M&A, Labour, and IP is what distinguishes them the most," says one competitor about Baker & McKenzie. According to market feedback, the firm's global brand continues to rake in business for the Colombian office.

The market also agrees that Jaime Trujillo Caicedo deserves special recognition as a leading lawyer. One partner calls him "very talented," while noting that the M&A veteran is "such a good lawyer and colleague -a very good guy to work with." A Trujillo-led team helped Groupe SEB acquire Colombian-based cookware company Imusa and in another matter, advised Nycomed Germany Holding while it acquired Laboratorios Farmacol, providing the international pharmaceutical company with an entrance to the high-growth Colombian market.

Additionally, Baker & McKenzie assisted the Public Sector Pension Investment Board, a Canadian crown corporation, in its joint venture with Amarilo, one of the largest real estate developers in Colombia.

Clients commend Brigard & Urrutia for its expertise, with one calling the firm "brilliant professionals". The firm is led by strong partners who have earned the respect of their peers. Both Carlos Fradique-Méndez and Sergio Michelsen are praised by their competitors, while Carlos Urrutia receives singular acclaim. "He is a lawyer you come across and he commands respect," says one rival.

Last year, the firm's M&A practice, working with Cleary Gottlieb Steen & Hamilton, advised Credit Suisse, TGI, and EEB. The deal involved a subscription of 31.9% of shares in Transportadora de Gas Internacional (TGI), a company listed on the Colombian Stock Exchange and controlled by EEB. The $400 million investment by Citi Venture Capital International in the Colombian gas transporter TGI, exemplifies the growing international interest in the country's energy sector.

The firm saw an uptick in project finance and capital markets work last year. At the time of going to press, the team was working with Hidroituango to finance a hydroelectric power plant, which may satisfy 20% of Colombian electricity demand. In another ongoing matter, the firm was advising Refinería de Cartagena (REFICAR) on financing an expansion to the refinery. A capital markets team led by Fradique-Méndez and Michelsen counselled ConConcreto as the construction company entered the local market with a $49 million IPO.

"An excellent banking practice" with "great clients," is how one competitor characterises Cárdenas & Cárdenas. The firm's financial and corporate practices are led by Bernardo and Eduardo Cárdenas, both of whom are highly regarded by the local market for their expertise. The firm has added more partners to its roster over the last few years and has formed an alliance with Fernández de Soto & Asociados in September, strengthening its administrative and antitrust practices in particular.

Cárdenas & Cárdenas advised Estrella Overseas as it acquired STS de los Andes, a Colombian drilling and oil field services company, performed the due diligence, and drafted legal documents necessary for the acquisition. In 2010, Bernardo helped San Antonio International, an oil and gas extraction company from Argentina, refinance its debt and renegotiate its credit agreements. He also counselled GMP Securities as underwriter to a $270 million private placement for Gran Colombia Gold, a gold producer in Colombia.

Clients are pleased with the attorneys' attentive manner and speedy response. "Very professional and efficient advice," says one patron. He also notes the extensive scope of Eduardo Cárdenas' practice, adding that the partner was "very knowledgeable in all areas of the law, business oriented, and always seeking solutions to problems presented."

Bernardo P Cárdenas (Leading lawyer bio)
Eduardo Cárdenas (Leading lawyer bio)

Gómez-Pinzón Zuleta's banking and finance practice is a market leader according to feedback, and is renowned for its expertise in stock matters. One competitor notes that the firm has "very sophisticated, business-oriented lawyers." M&A director Alejandro Linares-Cantillo is cited by many peers as one of Gomez-Pinzon's foremost experts. "One of the leading individuals, if not one of the most known people," says one partner about Linares' market presence.

In 2011, a four-partner team led by Ricardo Fandiño and Andrés Hoyos advised Avianca-Taca Holding in a $270 million public offering of preferential shares in the Colombian public securities market. Fandiño also advised Deutsche Bank in a $750 million loan to Corncel. In a separate matter, he counseled Ecopetrol, one of Colombia's largest petrol companies, in a local bond placement worth $523 million.

Kandeo Investment Advisors employed the services of Gómez-Pinzón Zuleta when establishing a private equity fund focused on providing services to small and mid-sized businesses. And in project finance, the firm represented Ocensa in a $624 million syndicated financing with local banks that will help build an oil pipeline.

Holguín Neira & Pombo underwent a shake-up last year, with 16 attorneys leaving in December. Most notably, oil and gas lawyer José Vicente Zapata Lugo who left to form his own firm, Suárez Zapata Partners Abogados. Despite this, the well-respected Luis Carlos Neira Mejía, a finance specialist, will continue to make the firm an important player in the Colombian market.

In March, a Neira-led team advised Citi Venture Capital International as it acquired a 31.9% stake in Transportadora de Gas Internacional (TGI), one of the largest deals in Colombia last year. The firm also assisted Empresa de Energía de Medellín, a public energy company, with negotiating a Build-Operate-Own-Maintain-Transfer (BOOMT) contract, regarding the Hidroituango hydroelectric generator.

Although the local market knows Lloreda Camacho & Co for its IP practice, the firm had an active year in M&A. Gustavo Tamayo, a partner held in high esteem by peers, led a team counselling Telmex Internacional and America Móvil in connection with Comcel's acquisition of Telmex Colombia. Comcel is a major cellular phone communications provider and Telmex Colombia is one of the largest internet services providers in Colombia.

The firm advised Cerraduras De Colombia Cerracol and its shareholders as they sold their remaining 70% stake in the company to Assa Abloy, which already owned the other 30%. Lloreda Camacho & Co also counselled ContourGlobal in the capitalisation of Termoemcali, a state-owned energy company.

Parra Rodríguez & Cavelier is understood by the market as a firm with an expertise in airplane leasing. The firm is led by the "hardworking" Bernardo Rodríguez who the market describes as a "very competent attorney" with a "very good due diligence team" and one that "works for the deal".

Largely known for its robust energy practice, Posse Herrera & Ruiz is a firm on the move and has gone on to develop multiple practices by leveraging that expertise. "A very good law firm, pushing hard," says one attorney about the firm's aggressive expansion. Others in the market noted that the "very active" firm was "very competent" and "doing a great job".

The firm acted as legal advisors to Compañía de Petróleos de Chile (COPEC) as the Chilean petrol distribution company purchased a 47.2% stake in Proenergía Internacional. The private purchase was supplemented by the acquisition of an additional 8.9% stake through the securities market. The related transactions gave COPEC an indirect controlling stake in Colombian-based Organización Terpel, another distribution company.

One client speaks highly about Jaime Herrera, a well-known figure in the legal community, and his team. "The entire team did an excellent job in all aspects of the transaction," he says. "In particular, they were very professional and extremely responsive to the needs of the client. I would be pleased to work with them again should the opportunity present itself."

Competitors also praise Mariana Posse's banking and finance experience while noting that she is a leading lawyer at the firm. She recently counseled BNP Paribas in a secured loan facility to Solana Resources, a subsidiary of Gran Tierra Energy.

"Transparency" and "fair negotiations" with "no games" is how a competitor describes his experience with Prieto & Carrizosa, adding that the firm has an enviable career development program. The firm's well-known name and highly-qualified professionals make it a trusted leader in the Colombian market. "I would not hesitate to use [them]," said one competitor, when asked which firm he directs clients to when conflicts arise.

In banking and finance, the firm moved up a tier based on positive market feedback and an active practice. In November 2010, the firm advised Banco de Bogotá on financing the acquisition of BAC Credomatic with a $1 billion loan-the bank's first international investment. Prieto & Carrizosa also helped Bank of America and Correval structure a bond issuance for Bavaria worth roughly $957 million. Corporate structural issues regarding SABMiller's relationship with its subsidiary Bavaria made the offering a complex undertaking.

The firm also had an active year in M&A, having advised Ecopetrol on acquiring assets held by BP Exploration - one of the larger acquisitions completed in the country last year. Additionally, a team led by Martín Acero helped with Scotiabank's acquisition of a 99.8% interest in RBS (Colombia) and a 5.09% interest in RBS Securities in a highly competitive bidding process. The transaction marked Scotiabank's formal entrance into the Colombian financial market and utilised the firm's regulatory, tax, and anti-trust practices.

"They are very experienced in the practice areas they cover," says one client. "They dedicate a lot of senior lawyer time to their projects and partners personally guarantee the quality of their work."