REG - Georgia Capital PLC - Disposal of the housing development business

Georgia CapitalAnnouncement

05/06/2026 14:45

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RNS Number : 2568H  Georgia Capital PLC  05 June 2026

                London, 5 June 2026

 

 

Disposal of the housing development business

Georgia Capital PLC (the "Company" or "GCAP") announces the sale of its
housing development business, m(2), one of the leading residential real estate
developers in Georgia, to local investors. The transaction is in line with
GCAP's capital-light investment strategy and represents further progress
towards the Company's strategic priority of divesting businesses in the other
portfolio companies portfolio.

The transaction has an immaterial positive impact on GCAP's last reported NAV
as of 31 March 2026. As a result of GCAP's reduced risk profile following the
completion of this transaction, GCAP will reduce its liquidity buffer target
to US$ 25 million. This translates into a 0.8 percentage point improvement in
the pro-forma 31 March 2026 NCC ratio, bringing it to 3.1%. The outstanding
US$ 25 million bond relating to the housing business will be repaid from the
transaction sale proceeds on or before its maturity date in August 2026.

Irakli Gilauri, Georgia Capital Chairman and CEO commented: "Over the last
decade the business has established itself as one of the leading residential
real estate platforms in Georgia, delivering high-quality developments and
comfortable housing to customers. Georgia's continued economic growth is
increasingly supporting the emergence of meaningful local pools of capital,
and I am particularly pleased to see the growing participation from domestic
investors in corporate transactions, in addition to ongoing international
interest."

Name of authorised official of issuer responsible for making notification:
Anano Akhobadze, Head of Investor Relations and Funding

About Georgia Capital PLC

Georgia Capital (LEI: 213800Q65T5GNBOW7H65) 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 Company'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 healthcare services business, and (iii) an insurance business
(P&C and medical insurance). Georgia Capital also holds other small
private businesses across different industries in Georgia and a 16.6% equity
stake (as at 31-Mar-26) in LSE listed Lion Finance Group PLC ("Lion Finance
Group" or "LFG"), formerly known as "Bank of Georgia Group PLC", the holding
company of leading universal banks in Georgia and Armenia.

 JSC Georgia Capital has, as of the date hereof, the following credit rating:

 S&P Global      'BB-'/FC & 'BB-'/LC

 For further information, please visit www.georgiacapital.ge
(http://www.georgiacapital.ge) or contact:

 

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

This news report is presented for general informational purposes only and
should not be construed as an offer to sell or the solicitation of an offer to
buy any securities.

 

 

 

 

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