BGEO completes $70m buyout of Georgian Global Utilities

BGEO Group announced on Thursday that JSC BGEO Investments, a wholly-owned subsidiary, has completed the recently-announced acquisition of the remaining 75% equity stake in Georgian Global Utilities.

The FTSE 250 firm owns 100% of GGU as a result of the buyout.

It had initially announced the acquisition of the the water and wastewater services group on 23 June, for a total consideration of $70m.

“The buy-out of the remaining 75% of GGU fits into our strategy to acquire attractive businesses which can be monetized within a six year period, via an IPO or an M&A trade,” said BGEO CEO Irakli Gilauri at the time.

“We remain committed to our principle of buying attractive businesses, and this purchase at a 4.2x EV / EBITDA multiple is expected to be earnings accretive from day one.”