OPEX Ratio Alignment & Portfolio Valuation Overview
OUR INVESTMENT STRATEGY (CONT'D)
IRR & MOIC¹ IS THE KEY DRIVER FOR GCAP TO INVEST IN NEW OPPORTUNITIES
KEY INVESTMENT METRICS AT GCAP LEVEL
IRR
MOIC
GEORGIA
CAPITAL
ROIC IS AT THE CORE OF OUR DECISION MAKING WHEN OUR PORTFOLIO
COMPANIES ARE INVESTING OR DIVESTING ASSETS / BUSINESSES
KEY METRIC FOR REINVESTMENT DECISION MAKING AT PORTFOLIO COMPANIES' LEVEL
•
•
ROIC
ROIC should exceed WACC for all new investments
Portfolio companies to continue divestment of low ROIC and/or
non-core assets & businesses to enhance ROIC
e.g. hospital (HTMC) sale transaction, improving
healthcare services business ROIC by 90bps on a
proforma basis
GCAP ROLE VIS-À-VIS PORTFOLIO
COMPANIES
•
Approval of all capital allocation decisions: equity, debt, profit
reinvestment, divestment etc.
.
Strategy setting, business plan approval and monitoring
•
Human capital (CEO & CFO) allocation & KPI setting
Georgia Capital PLC | 1. Multiple of Capital Invested (MOIC).
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