Grupo de Inversiones Suramericana S.A. (Grupo SURA) hereby announces that, after obtaining due authorization from its Board of Directors as granted in their meetings held on October 22 and 23, the Company’s legal representative signed a Memorandum of Understanding with Grupo Argos S.A. (Grupo SURA and Grupo Argos hereinafter referred to as the “Parties”) by virtue of which:

1. The Parties undertake to exclusively negotiate and propose to their respective Boards of Directors a transaction structure resulting in two independent companies, such that, to the extent possible, Grupo Argos and Grupo SURA shall cease to be reciprocal investors, either directly or indirectly.

2.The proposed transaction structure should:

• Guarantee equitable treatment to the shareholders of the parties involved
• Be efficient and feasible from the financial, legal, accounting standpoints as well as the time it takes to complete.
• Allow each of the Parties to continue to further their own specializations while developing their business plans in the long term.

This definition on the part of the Board is consistent with the Company's strategy and its capital allocation criteria which focuses on providing its financial services through its three main investments in companies that lead their respective industries and have built up a relevant footprint in Latin America, namely: Suramericana (insurance), SURA Asset Management (savings and investments) and Bancolombia (banking and financial services). 

Grupo SURA shall continue to update the market on the progress made with the implementation of this MOU.