BOG raises $75 million Trade Finance Club Facility

Released : 23 Aug 2017 07:00

RNS Number : 7461O
Bgeo Group PLC
23 August 2017





London, 23 August 2017





Bank of Georgia raises US$75 million Trade Finance Club Facility



BGEO Group PLC (the "Group" or "BGEO"), announces that JSC Bank of Georgia ("the Bank") has signed a one-year US$75 million Club Trade Finance Facility ("the Facility") arranged by Citi in collaboration with the Bank's long-term partner international financial institutions - Asian Development Bank ("ADB") and International Finance Corporation ("IFC") - a member of the World Bank Group. The Facility is the fourth successful syndication arranged by Citi for JSC Bank of Georgia and supports Bank of Georgia's commitment to remaining the leading provider of trade finance solutions for the Georgian corporate and small and medium sized (SME) sectors.


"We are pleased to be at the forefront of providing much needed trade finance products to our corporate and SME clients. The Facility is intended to finance trade operations in Georgia's key economic sectors such as agribusiness, transportation and energy. It will not only diversify and strengthen our client base, but also serve our purpose to contribute to sustainable economic growth in Georgia", said Kaha Kiknavelidze, Bank of Georgia CEO. "I would like to thank Citi and our long-term partners - ADB and IFC - for another fruitful collaboration and successful completion of the transaction."


















Name of authorised official of issuer responsible for making notification: Giorgi Alpaidze, Head of Finance, Funding and Investor Relations


About BGEO Group PLC

The Group: BGEO Group PLC ("BGEO"- LSE: BGEO LN) is a UK incorporated holding company of a Georgia-focused investment platform. BGEO invests, via its subsidiaries, in the banking and non-banking sectors in Georgia (BGEO and its subsidiaries, together the "Group"). BGEO aims to deliver on a 4x20 strategy: (1) at least 20% ROAE from its Banking Business; (2) at least 20% growth of its Banking Business retail loan book; (3) at least 20% IRR; and (4) up to 20% of the Group's profit from its Investment Business. On 3 July 2017 BGEO announced its intention to demerge BGEO Group PLC into a London-listed banking business (the "Banking Business") and a London-listed investment business (the "Investment Business") by the end of the first half of 2018. 

Banking Business: Currently representing at least 80% of the Group's profit, will comprise: a) retail banking and payment services, b) corporate investment banking and wealth management operations and c) banking operations in Belarus ("BNB"). JSC Bank of Georgia ("BOG" or the "Bank") is the core entity of the Group's Banking Business. The Banking Business will continue to target to benefit from the underpenetrated banking sector in Georgia primarily through its retail banking services.  

Investment Business: Currently representing up to 20% of the Group's profit, will comprise the Group's stakes in Georgia Healthcare Group PLC ("Healthcare Business" or "GHG") - an LSE (London Stock Exchange PLC) premium-listed company, Georgia Global Utilities ("Utility and Energy Business" or "GGU"), m2 Real Estate ("Real Estate Business" or "m2"), Teliani Valley ("Beverage Business" or "Teliani") and Aldagi ("Property and Casualty Insurance Business" or Aldagi). Georgia's fast-growing economy provides opportunities in a number of underdeveloped local markets and the Investment Business will target to capture growth opportunities in the Georgian corporate sector.  


JSC BGEO Group has, as of the date hereof, the following credit ratings:

Bank of Georgia has, as of the date hereof, the following credit ratings:

Fitch Ratings


Fitch Ratings



B1/NP (FC) & B1/NP (LC)


'B1/NP' (FC) & 'Ba3/NP' (LC)


For further information, please visit or contact: 

Irakli Gilauri

Michael Oliver

Giorgi Alpaidze

Group CEO

Adviser to the CEO

Head of Investor Relations

+995 322 444 109

          +44 203 178 4034

         +995 322 444 190



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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