Investor Presentaiton
Pipeline
Periodic technical inspection business overview
Investment rationale
Georgia's Auto park continues to grow steadily, with 7.4% CAGR during the years 2012-2019
Key highlights | 31 December 2019
GEORGIA
CAPITAL
"
Georgia lags behind developed countries by number of private passenger cars per capita, showing room for
further growth*
GEL millions, unless otherwise noted
31-Dec-19
30-Jun-19
Change
"
Vehicles older than 10 years represent 90% of total auto park
EBITDA²
6.7
6.7
NMF
"
"
Value creation potential
"
In July 2018, the business (Greenway Georgia or "GWG") won state tender to launch and operate 51 periodic
technical inspection lines across Georgia with a 10-year license.
Currently, inspection covers the basic technical control of vehicles. The government plans to gradually tighten
procedures in 2020 to try and reduce the level of harmful emissions*
GWG is the only player on the market with support from an international partner, Applus+, a Spain-
headquartered worldwide leader in testing, inspection and certification services, with a market presence in more
than 70 countries
* Source: GALT & TAGGART
Multiple applied
10.4
10.1
2.8%
Enterprise Value
70.0
68
2.8%
Net debt
(49)
(49)
1.0%
PTI | Equity fair value
21
19
7.2%
Amboli acquisition price
5
5
NMF
Market opportunity
Number of passenger cars per 1,000 people, (2017)
527
510
419
418
378
351
348
322
313
307
Auto service business | Equity fair value
26
24
5.7%
Source: GALT & TAGGART
Selected metrics
Number of inspection lines
I 256 1
I
202
51
147
112
Financial highlights
Current market share¹
36%
Operating highlights
Czech rpb
Slovenia
Estonia
Lithuania
Company
Opus Group
VICOM
Applus Services
Sweden
Hungary
Croatia
Latvia
Belarus
Valuation peer group
Country
Sweden
Singapore
Spain
Russia
Georgia
Kazakhstan
Turkey
Azerbaijan
Ticker
OPUS
VCM
APPS
Bolsa de Madrid
Stock Exchange
Stockholm
Singapore
GEL thousands
Revenue³
Gross margin
EBITDA
EBITDA margin
(1)
Based on available inspection lines.
(2)
Combination of the last six months and the next six months earnings.
(3)
Technical inspection prices are fixed set at GEL 60 and GEL 100 for light vehicles and heavy vehicles, respectively.
2019
2019
12,917
Cars serviced
342,275
66%
of which, primary
246,932
3,262
of which, secondary
95,343
25%
➤ All inspection centers were constructed and put into operations within 6 months (end of Feb-19)
➤ Average time per checks decreased significantly from 25 minutes upon launch to 11 minutes at
31-Dec-19
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