Tbilisi (GBC) - "MP Development" has successfully placed 1-year securities in the amount of $6.3 million and €5.3 million. The emission was carried out within the framework of the $57 million bond program. Placement agents were TBC Capital and Galt & Taggart.

The bonds were placed within the capital market support program of the Economic Development Corporation of Georgia, and they are planned to be admitted to trading on the Tbilisi Stock Exchange. Securities investors are natural persons. The coupon of the bonds denominated in US dollars was 7.5%, and the coupon of the euro tranche was set at 6.5%.

Raised funds will be used to refinance existing bonds and finance future projects. With this transaction, the company significantly improved financing costs and, due to high interest, was able to attract additional resources.

According to Otar Sharikadze, director of TBC Capital, the company is an active issuer on the capital market of Georgia, and taking into account this issue, it has placed bonds totaling more than $29 million and €8 million.

"I am glad that within the framework of cooperation we have already implemented the 4th and 5th issues. As a result, we are jointly continuing the development of the local debt capital market. This year, TBC Capital has already helped six companies to attract financial resources." In total, we placed ₾400 million worth of corporate bonds within 10 transactions, as a result of which we maintain our leading position and hold a 60% share in the local market," said Otar Sharikadze.

Director of the Economic Development Corporation of Georgia, Irakli Gabriadze, emphasized that this is the second successful cooperation with "Empy Development" within the framework of the capital market support state program.

"When using the program for the first time, the company issued debut bonds, which is another visible example of the entry of new issuers into the capital market. I am glad that the capital market is becoming an effective tool for attracting financial resources for Georgian businesses. The corporation will actively continue to support similar initiatives in the future," said Irakli Gabriadze.

According to the director of Empi Development, Papuna Katsitadze, the high confidence of investors and the success of previous issues allowed the company to return to the market with an even larger offer.

"It is particularly important that investors' interest in the current issue is still high. In addition, the existing investors also expressed their desire to participate in the new issue, which is another proof of high confidence in the company. "MP Development" has been developing consistently for 14 years, and it is these results that determine the growing confidence of the market," said Papuna Katsitadze.