(Alliance News) - Georgia Healthcare Group PLC said Thursday its hospitals business, JSC Evex Hospitals, has completed the placing of GEL50 million, around USD16.9 million, in unsecured local bonds due 2024 on the Georgian market.
The bonds carry a floating coupon rate of 310 basis points premium, the lowest margin floating floating rate among corporate bond issues on the Georgian market.
Proceeds from the bond issue will go towards refinancing more expensive borrowings. JSC Galt & Taggart acted as a lead manager for the bonds.
"I am delighted that Evex Hospitals has successfully completed another landmark transaction, the placement of bonds with the lowest margin that any corporation has ever done in Georgia," said Chief Executive Officer Nikoloz Gamkrelidze said.
"The transaction was met with considerable interest from investors, with a key investor being the European Bank for Reconstruction and Development, demonstrating our superior access to capital. The issuance of bonds helps us to further decrease our cost of funding, contributing to the healthy growth of the business," Gamkrelidze added.
Shares in Georgia Healthcare - which is headquartered in London - were down 4.2% at 172.50 pence on Thursday.
By Dayo Laniyan; dayolaniyan@alliancenews.com
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