TIDMCGEO

RNS Number : 8913Z

Georgia Capital PLC

20 September 2022

London, 20 September 2022

Georgia Healthcare Group signs US$ 35 million financing package with EBRD

Georgia Capital PLC (the "Company") announces that Georgia Healthcare Group ("GHG") and its 100% subsidiary JSC Evex Hospitals ("Evex") have signed a US$ 35 million, 5-year financing package with European Bank for Reconstruction and Development ("EBRD").

The US$ 25 million Loan Agreement signed by GHG is comprised of two tranches:

-- A US$ 10 million tranche will replace the existing US$ 10 million loan with EBRD, signed in 2020, to support its critical healthcare infrastructure in the fight against Covid-19 .

-- The loan's second, uncommitted, tranche, of US$ 15 million, is designated for financing the 11% minority shareholder buyout of GHG's retail (pharmacy) business in 2023, in line with the buyout scheme announced in 2021.

A US$ 10 million tranche, signed by Evex, will enable it to upgrade 15 hospitals and purchase medical equipment that will enhance the value proposition of Evex to its patients. It will also partly refinance recently matured private local bonds.

EBRD President Odile Renaud-Basso , signed the agreement, saying : "It is great to be in Tbilisi, signing this agreement with our longstanding clients in person. With our support, they have played a significant role in Georgia's ability to fight the Covid-19 pandemic. We are delighted to help strengthen their operations and bolster Georgia's healthcare infrastructure for years to come."

Irakli Gilauri , Chairman and CEO of Georgia Capital, commented: "I am pleased to announce that GHG and one of its subsidiaries, Evex Hospitals, have successfully completed another two long-term funding transactions with EBRD. The recently signed deals will contribute to the enhancement of the Georgian healthcare infrastructure. I would like to thank EBRD, our established partner, who has been supporting Georgia Capital in improving the future of our community by building sustainable businesses of tomorrow, and look forward to working on other exciting projects in the future."

Name of authorised official of issuer responsible for making notification: Giorgi Alpaidze, Chief Financial Officer

About Georgia Capital PLC

Georgia Capital is a platform for buying, building and developing businesses in Georgia with holdings in sectors that are expected to benefit from the continued growth and further diversification of the Georgian economy. The Group's focus is typically on larger-scale investment opportunities in Georgia, which have the potential to reach at least GEL 300 million equity value over 3-5 years from the initial investment and to monetise them through exits, as investments mature. Georgia Capital currently has the following portfolio businesses: (i) a retail (pharmacy) business, (ii) a hospitals business, (iii) an insurance business (P&C and medical insurance); (iv) a clinics and diagnostics business, (v) a renewable energy business (hydro and wind assets) and (vi) an education business; Georgia Capital also holds other small private businesses across different industries in Georgia; a 20% equity stake in the water utility business and a 20.6% equity stake in LSE premium-listed Bank of Georgia Group PLC ("BoG"), a leading universal bank in Georgia.

 
 JSC Georgia Capital has, as 
  of the date hereof, the following 
  credit ratings: 
 
      S&P Global    'B+'/FC & 'B+'/LC 
      Moody's       B1/CFR & B1/PDR

For further information, please visit www.georgiacapital.ge or contact:

 
 Irakli Gilauri                  Giorgi Alpaidze           Michael Oliver                  Shalva Bukia 
 Chairman and Chief Executive    Chief Financial Officer   Adviser to the Chairman & CEO   Head of Investor Relations 
 ir@gcap.ge                      +995 322 005 000          +44 203 178 4034                + 995 322 005 045 
                                 ir@gcap.ge                ir@gcap.ge                      ir@gcap.ge

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