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BOG signs a US$ 50 million AT1 facility agreement
BOG signs a US$ 50 million AT1 facility agreement.
About this update from Lion Finance Group Plc
[{"type":"text","content":"\n \n \n \n \n London, 31 May 2022\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n JSC Bank of Georgia signs a US$50 million additional tier 1 capital perpetual subordinated syndicated facility agreement\n \n \n \n \n \n \n \n \n Bank of Georgia Group PLC (the \"Group\") announces that its subsidiary, JSC Bank of Georgia (the \"Bank\" or \"Bank of Georgia\") today signed US$ 50 million Additional Tier 1 Capital Perpetual Subordinated Syndicated Facility (the \"Facility\"), with the European Bank for Reconstruction and Development (\"EBRD\") and Swedfund International AB (\"Swedfund\") as Lenders. The Facility is callable by the Bank after 5 years from the disbursement date and on every subsequent interest payment date, subject to prior consent of the National Bank of Georgia. On closing, subject to the National Bank of Georgia's approval, the facility is expected to be included in additional Tier 1 capital of the Bank.\n \n \n \n \n \n The Facility includes a green component, whereby the Bank is expected to identify and apply amounts equal to the\n AT1 Capital Loan into Green Economy Transition (GET)-eligible investments. EBRD will also provide a grant for a technical cooperation programme to support Bank of Georgia in its green financing initiatives.\n \n \n \n \n \n \n Archil Gachechiladze,\n \n Bank of Georgia's Chief Executive Officer, commented: \"I am delighted that our long-standing and very successful partnerships with EBRD and Swedfund have now extended to an inaugural Additional Tier 1 Capital Facility with a green component for Bank of Georgia. This syndicated facility provides the Bank with an opportunity to further diversify its capital structure from a foreign currency perspective, and the green component will enhance our existing environmental and social commitments. I would like to thank EBRD and Swedfund for their support, and hope to have further successful transactions with them in the future.\"\n \n \n \n \n Francis Malige,\n \n EBRD's Managing Director, Financial Institutions, commented:\n \n \"This is EBRD's first-ever perpetual subordinated Additional Tier I Capital Loan. I am very pleased to sign it with our longstanding partner Bank of Georgia, a bank of systemic importance. This loan will boost Bank of Georgia's capital base, provide a natural hedge against currency fluct...