BGEO Group PLC investment group will continue functioning as two independent companies. One company will operate in the direction of banking (Bank of Georgia Group) and the other –investment business (Georgia Capital).
The above process will be completed within the first half of the year. Once the process is over, the stock of the two companies will be independently placed in the London Stock Exchange. Accordingly, three companies of BGEO Group will be represented at the London Stock Exchange.
The BGEO Board of Directors considers that this splitting into two independent companies will create additional opportunities for the business to more flexibly manage its resources and follow its strategy.
By the decision of the BGEO Board of Directors, after completion of the process, the Georgia Capital share in the Bank of Georgia Group will make 19.9%, instead of 9.9% declared in July 2017. Moreover, to ensure independence of the bank, Georgia Capital’s voting rights will be limited the rest of the shareholders of the Georgian Bank Group will determine how Georgia Capital should vote at the general meeting. Georgia Capital will regain its voting right with the Bank of Georgia after its share is reduced down to 9.9%. Both companies – Georgia Capital and Bank of Georgia Group will have independent supervisory boards and boards of directors.
Georgia Capital holds: 57% shares in Georgia Healthcare Group (GHG), 100% in Georgia Global Utilities (GGU), 100% in m2 Real Estate, 76% in Teliani Veli, 100% in Aldagi insurance company and 19.9% in the Bank of Georgia Group (the mentioned share in the Bank of Georgia will be effective once the split of banking and investment businesses is completed).
