1Q23 Performance Overview
Option
valuation
WATER UTILITY BUSINESS
VALUATION OVERVIEW
VALUE DEVELOPMENT OVERVIEW
(GEL MILLION)
697.0
(557.6)
15.6
155.0
155.0
Equity value
31-Dec-21
Sale of 80%
equity interest
Put option
valuation
Equity value of
as of 31-Dec-22
Change
Equity value of
as of 31-Mar-23
GCAP and Aqualia have put and call options for the
minority 20% equity interest in the water utility business.
GCAP'S PUT OPTION
AQUALIA'S CALL OPTION
8.25x
8.90x
EV/EBITDA
Exercisable in 2025-2026.
EV/EBITDA
Exercisable on the date of expiry
of the put option in 2026 and
expiring six months thereafter.
➤ In 2022, GCAP completed the sale of 80% interest in Water Utility business for total consideration of US$ 180 million,
translating into MOIC of 2.7x in US$ (3.6x MOIC in GEL) and IRR of 20% in US$ (27% IRR in GEL).
➤ In 2022, remaining 20% equity interest in business was valued with the application of put option valuation and positive
developments in the normalised¹ LTM EBITDA, leading to GEL 15.6 million value creation in the business.
➤ In 1Q23, the fair value of GCAP's 20% holding in the water utility business, remained unchanged at GEL 155.0 million
Georgia Capital PLC | 1. Normalised for the items as set out in the terms of the disposal.
GEORGIA
CAPITAL
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