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.”