Portfolio Valuation and Ameriabank Acquisition Update slide image

Portfolio Valuation and Ameriabank Acquisition Update

Externally valued¹ EDUCATION BUSINESS VALUATION OVERVIEW VALUE DEVELOPMENT OVERVIEW | 4Q23 (GEL MILLION) Change q-o-q +11.4% +6.8% +27.6% +6.9% +10.8% 31 24 229 205 (17) 189 (54) LTM EV/EBITDA DEVELOPMENT4 GEORGIA CAPITAL 16.5x 16.7x Enterprise value Net change in EV 30-Sep-23 Enterprise value 31-Dec-23 Investment at cost Net debt Minority interest² Equity value 31-Dec-23 30-Sep-23 31-Dec-23 Y-O-Y PROGRESS NET DEBT TO EBITDA VALUATION HIGHLIGHTS1 GEL million, unless noted otherwise 31-Dec-23 30-Sep-23 Change 31-Dec-22 Change Enterprise value 228.8 205.3 23.5 218.3 10.5 LTM EBITDA³ 13.7 12.4 1.3 12.9 0.8 Implied EV/EBITDA multiple Net debt 16.7x 16.5x 0.2x 16.9x (0.2x) 1.3x 1.4x (16.5) (12.9) (3.6) (16.3) (0.2) Investments at cost 30.5 28.6 1.9 16.3 14.2 Total equity value of GCAP's share 189.2 170.9 18.3 164.2 25.0 30-Sep-23 31-Dec-23 <2.5x TARGET Georgia Capital PLC | 1. The independent valuations of the large and investment portfolio companies are performed on a semi-annual basis. In 4Q23, our private large and investment portfolio companies were valued externally by a third-party independent valuation firm. 2. GCAP has different ownership stakes across schools (70-90%). 3. The LTM EBITDAS used in the valuation assessment of the education business incorporate the functional currency adjustment at certain schools. The LTM EBITDA calculations do not factor the performance of a recently launched schools, which are added to the equity value of the business at cost. Consequently, the EBITDA figures presented on slide 35 may differ from those used in the business valuations. 4. The forward-looking implied valuation multiple is estimated at 10.5x for the 2024-2025 academic year. 66 99
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