Dechert’s London-based emerging markets team has advised on three important capital markets deals out of Georgia for an aggregate amount of US$1 billion. Partner Louise Roman Bernstein led on all three transactions, assisted by associates Giles Belsey and Jennifer Buckett and with support from Dechert’s newly-established Tbilisi office.
Dechert advised JSC Georgian Railway in connection with the issuance of its new US$500 million 7.75% notes due 2022 and the simultaneous completion of a cash tender offer in respect of its existing US$250 million 9.875% Notes due 2015, which resulted in Georgian Railway repurchasing US$222.48 million of its existing notes. Georgian Railway is wholly-owned by the State of Georgia and is, by statute, Georgia’s only railway operator.
Dechert also advised three prime international investment banks, as Joint Lead Managers, in connection with the issuance by JSC Bank of Georgia, the largest bank in Georgia, of US$250 million 7.75% due 2017. Both the Georgian Railway transaction and the Bank of Georgia Eurobond issuance were successfully completed on 5 July 2012.
In addition, in a transaction that closed on 16 May 2012, Dechert represented JSC Georgian Oil and Gas Corporation (GOGC) in connection with the issuance of its US$250 million 6.875% notes due 2017, which issuance represents GOGC’s debut international capital markets transaction. GOGC is wholly-owned by the State of Georgia and has been designated as Georgia’s “national oil company”.
The securities issued in each of the Georgian Railway, Bank of Georgia and GOGC transactions were offered pursuant to Rule 144A and Regulation S under the U.S. Securities Act and are listed on the London Stock Exchange.
Roman Bernstein said: “We are honoured to have been involved in each of these market-leading transactions, which confirm the growing recognition of Georgian companies on the international stage. The quality and diligence of the issuer teams, coupled with the dedication of the investment banks, on each of these transactions proved invaluable in the difficult market conditions. We are particularly pleased to continue our strong track record of helping Georgian companies raise capital in the international capital markets and, in this way, to confirm our commitment to growing our Georgian practice.”
