Georgia Capital — Strong portfolio at a substantial discount

Georgia Capital (GCAP) delivered a solid NAV total return of 11.2% in Q125 in local currency terms (9.8% in GBP), continuing its strong 15.1% growth per annum since end-2018. Q125 NAV growth was driven primarily by Lion Finance Group’s stock performance (BGEO, formerly Bank of Georgia), which contributed 6.9pp to NAV performance. The strength of GCAP’s private portfolio continues to be reflected in robust earnings growth and sustained dividend flows. The group has reiterated its guidance to receive GEL180m in recurring dividends in 2025 (flat vs 2023 and 2024, which was sufficient to cover 169% of GCAP’s share buybacks over the last two years). Given the persistent wide discount to NAV (currently 37% to end-March NAV), GCAP remains focused on accretive share repurchases, reinforcing its commitment to disciplined capital allocation.