LONDON - Georgia Capital PLC (LSE:CGEO) announced today that it has completed the sale of its 92.4% stake in its beer and distribution business to Royal Swinkels N.V.'s subsidiary. The Transaction (JO:TCPJ), initially disclosed on October 28, 2024, concluded with Georgia Capital receiving approximately US$ 63 million in net proceeds.
The business, now restructured under a new holding company based in the Netherlands, known as Dutch Holdco, sees Georgia Capital and its minority co-investor retaining a 20% interest. Royal Swinkels owns the remaining 80%, with a put/call agreement in place regarding the minority stake.
Georgia Capital's diversified investment portfolio in Georgia spans across various sectors, including retail pharmacy, insurance, healthcare, renewable energy, education, and clinics and diagnostics. Besides these, the company maintains a 20% equity stake in a water utility business and a similar holding in the London Stock Exchange-listed Bank of Georgia Group (LON:BGEO) PLC.
The completion of this deal aligns with Georgia Capital's strategy to invest in and later divest from larger-scale opportunities within Georgia's growing and diversifying economy. The company aims for these investments to reach a significant equity value before exiting.
This transaction's closure marks a strategic shift for Georgia Capital, allowing it to reallocate resources and focus on its core portfolio businesses. The information is based on a press release statement from Georgia Capital PLC.
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