Portfolio Overview & Capital Allocation
Private large
portfolio companies
EXTERNALLY VALUED
GEORGIA
CAPITAL
GHG AT A GLANCE
A well diversified business model with cost and synergy advantages
Georgia Healthcare Group - The only fully integrated healthcare provider in the region
with solidified digital channels
Pharmacy
Extensive geographic coverage - diversified healthcare services and
pharmacy network covering 3/4 of Georgia's population
INVESTMENT RATIONALE
•
.
Very low base: healthcare services spending per capita only US$ 308 (EU average
is US$ 3,211).
Growing market: healthcare spending growth estimated at 8% 2020-2021.
Healthcare
Services
Community
Clinics &
Polyclinics
Referral
Hospitals
Healthcare
Services
闰
Diagnostics
(+
Retail
Medical
Insurance
Compromises of three businesses: Healthcare
Services, Retail (pharmacy) and Medical
Insurance
| Market leader in each operating segment
Advanced technology and IT infrastructure
solidified Group's further growth opportunities
on integrated level
VALUE CREATION POTENTIAL
•
•
•
The single largest integrated company in the Georgian healthcare ecosystem, with a
cost advantage due to the scale of operations.
High-growth potential driven by opportunity to develop medical tourism, pick-up in
polyclinics outpatient market, the provision of beauty, dental, aesthetics and
laboratory diagnostics.
Well positioned to take advantage of the expected long-term macroeconomic and
structural growth drivers.
ROIC enhancement and substantially increased free cash flow generation following
the completion of a significant three-year investment programme in 2018.
GHG Group's medium to long term strategic targets
Boosted
operational
Organic growth
+
New projects
in pipeline
Significantly
improved cash flow
Gradually
approaching
c.15%-17%
Double digit revenue
CAGR next 5 years
Mid-teen EBITDA CAGR
next 5 years
+
ROIC
Disciplined capital
allocation strategy
OWNERSHIP
Georgia Capital owns 100% in GHG at 31 December 2020. Our holding in GHG
increased from 70.6% at 31 December 2019 following the completion of a
recommended shar exchange offer. Further details of the transaction are
available at the following link: Offer for GHG | Georgia Capital
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