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Georgia Capital PLC Announces First Half 2018 Financial Results

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Georgia Capital PLC ("the Group") has published today its financial
results for the first half of 2018. The results announcement together
with the supplementary financial information is available on the Group's
website at http://georgiacapital.ge/ir/financial-results.
Georgia Capital PLC 1H18 results presentation is available on the
Group's website at http://georgiacapital.ge/ir/presentations.
An investor/analyst conference call, organised by the Group, will be
held on 20 August 2018, at 15:00 UK / 16:00 CET / 10:00 U.S Eastern
Time. The duration of the call will be 60 minutes and will consist of a
15-minute update and a 45-minute Q&A session.

Management Commentary

"The first half of 2018 marked a significant milestone for the Group as
an independent publicly listed investment company following the
completion of the demerger from BGEO Group PLC. As a result, Georgia
Capital was admitted to the premium listing segment of the London Stock
Exchange on 29 May 2018, under the ticker ‘CGEO'. The demerger allows
Georgia Capital to capture investment opportunities in the young and
fast evolving Georgian economy, both more proactively and in a more
disciplined and focused manner. Georgia Capital aims to take advantage
of being the only institutional investor in the country, where access to
capital in a small frontier economy is limited, and many corporate
sectors are still forming. Georgia Capital's fundamental strength is its
ability to institutionalise portfolio companies as it improves their
underlying operational results. Its ability to access capital and
attract and develop high quality talent is the foundation that enables
it to execute on its strategy. The Georgia Capital management team,
under the BGEO Group, has a track record of executing more than 40
acquisitions in banking, insurance, healthcare, utilities, retail, FMCG
and other sectors. It has successfully integrated businesses in many
sectors, while delivering growth and extracting targeted synergies.
Considering the above, we aim to deliver ten times total shareholder
returns over the next ten years."

1H18 performance highlights

NAV per share increased by 19% in the first half of 2018 to GEL 46 at 30
June 2018, as total NAV reached GEL 1.7 billion. Net income of the Group
under investment company basis in 1H18 was GEL 71 million, largely
driven by strong portfolio performance. All late stage private portfolio
companies demonstrated positive performance in their recurring
businesses, while early stage businesses continued development to the
next levels of their greenfield lifecycle. ROI stood at respectable
26.7%.

During the first half of 2018 we invested GEL 33 million across the
Beverages and Renewable Energy businesses in bolt-on acquisitions to
increase scale and make progress towards the established business goals,
respectively.

In March, Georgia Capital issued its inaugural international US$ 300
million 6.125% corporate bonds due 2024, which was the first
international bond offering by a non-banking, non-state-backed company
from Georgia. The bond proceeds allow us to maintain material liquid
funds for deployment in new opportunities.

Conference call details

Dial-in numbers:   30-Day replay:
Pass code for replays/Conference ID: 2698577 Pass code for replays / Conference ID: 2698577
International Dial In: +44 (0) 2071 928338 UK Freephone Dial In: 08082380667
UK Freephone Dial In: 08002796619 UK Local Dial In: 08445718951
UK Local Dial In: 08444819752 International Dial In: +44 (0) 3333009785
US: 18778709135 US: 1 (866) 331-1332

This announcement contains forward-looking statements, including, but
not limited to, statements concerning expectations, projections,
objectives, targets, goals, strategies, future events, future revenues
or performance, capital expenditures, financing needs, plans or
intentions relating to acquisitions, competitive strengths and
weaknesses, plans or goals relating to financial position and future
operations and development. Although Georgia Capital PLC believes that
the expectations and opinions reflected in such forward-looking
statements are reasonable, no assurance can be given that such
expectations and opinions will prove to have been correct.

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