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Investor Presentaiton

Private large portfolio companies EXTERNALLY VALUED WATER UTILITY BUSINESS VALUATION OVERVIEW VALUE DEVELOPMENT OVERVIEW | 4Q20 EBITDA AND EV/EBITDA MULTIPLE HIGHLIGHTS (GEL MILLION) Change q-o-q 85 +10.0% 931 +14.3% +6.0% EBITDA (GEL million) 98.71 109.92 471 9.4x 8.5x 846 (460) Tariff adjusted implied EV/EBITDA multiple (used Normalised 2020 EBITDA 2 Enterprise value 30-Sep-20 Increase in EV Enterprise value 31-Dec-20 Lease liabilities Equity value 31-Dec-20 in valuation)1 VALUATION HIGHLIGHTS GEL million, unless noted 31-Dec-20 otherwise 30-Sep-20 Change 31-Dec-19 Change Valuation method DCF & Multiples³ Multiples4 NMF Multiples4 Enterprise value 930.9 846.1 84.8 836.8 NMF 94.1 LTM EBITDA 98.71 84.65 14.1 95.1 3.9 Implied EV/EBITDA multiple 9.4x 10.0x -0.6x 8.8x +0.6x Net debt Equity value (459.7) 471.1 (433.8) 25.9 (352.8) 106.9 412.3 58.8 484.0 (12.8) Georgia Capital PLC | 1) 31-Dec-20 LMT EBITDA reflects new tariffs, announced in 2020. Tariff adjusted EBITDA was used in valuation. 2) Normalised for a) abnormally low generation levels in 2020 in Zhinvali reservoir and b) low volume sales due to COVID-19 (reimbursed under the tariff-setting methodology). 3) Water utility business was valued externally for the first time in 4Q20. The valuation method used was combination of income approach (DCF) and market approaches. 4) Water Utility was valued internally in 3Q20 and FY19. The valuation method used was market approach (multiples), cross checked with income approach (DCF). 5) LTM 30-Jun-20 EBITDA was used for the valuation purposes. GEORGIA CAPITAL 557 57
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