Georgia Capital PLC (the “Company” or “GCAP”) announces the sale of its housing development business, m2, 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.”