12th Aug 2015 06:59
LONDON (Alliance News) - Bank of Georgia Holdings PLC, the London-listed holding company of JSC Bank of Georgia, on Wednesday said it has completed a legal restructuring that will split its banking business from its investments arm.
The banking business includes banking subsidiaries in JSC Bank of Georgia and non-banking financial subsidiaries in JSC BG Financial. The investment business, JSC BGEO Investments, includes affordable housing, healthcare, water and utilities, among other investments.
"The reorganisation was undertaken in accordance with the National Bank of Georgia's intention to regulate banks in Georgia on a standalone basis and thereby limit investments in non-banking subsidiaries by locally regulated banking entities," Bank of Georgia Holdings said in a statement.
Bank of Georgia Holdings said it has created JSC BGEO Group, a subsidiary to act as an ultimate Georgian holding company.
"The group's subsidiaries are grouped into banking businesses and investment businesses under JSC BGEO Group, which represents an optimal fit to manage the group as a Georgia-focused banking group with an investment arm
Now, the company wants to name itself BGEO Group PLC instead of Bank of Georgia Holdings PLC.
Neil Janin will remain as chairman of the group, and Irakli Gilauri will continue as chief executive.
"The new structure, which is now very well streamlined for our strategy, will facilitate our continued commitment to growing Bank of Georgia's strong retail and corporate banking franchise and allow the group to continue to capture compelling investment opportunities in Georgia's corporate sector," Gilauri said in a statement.
By Samuel Agini; [email protected]; @samuelagini
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