Bgeo acquires loan portfolio from ProCredit Bank Georgia

Georgia-focused investment company BGEO Group announced on Tuesday that its banking subsidiary, JSC Bank of Georgia, has agreed to acquire a micro and small business portfolio from JSC ProCredit Bank Georgia for cash.

The FTSE 250 firm said ProCredit Bank is currently the third largest bank in Georgia by total assets and market share of gross loans.

It said the transaction will add around 2,400 micro and small business clients and a net value of GEL 120m to BOG's retail banking loan portfolio.

“This transaction, which largely reflects individual loans of less than $0.1m value, further strengthens BOG's position in the small business and micro segments,” the company’s board said in a statement.

“The transaction directly serves the bank's strategic target to enhance its retail business by growing the micro, small and medium sized enterprise loan portfolios within the next three years.”