JSC Partnership Fund (PF) is a state owned investment fund, established in 2011.
The fund is assigned Fitch rating "BB-", which is equal to sovereign ceiling of Georgia.
PF was created on the basis of consolidating the ownership of the largest Georgian state owned enterprises operating in transportation, energy and infrastructure sectors. PF’s main objective is to promote investment in Georgia by providing co-financing (equity, mezzanine, etc.) in projects at their initial stage of development.
PF is split in two separate business units:
1. Asset management – PF has assets under management with combined annual turnover of over USD 750 million in 2012. PF’s portfolio is comprised of Georgia’s strategically important assets:
Georgian Railway - 100% of shares
Georgian Oil and Gas Corporation (GOGC) - 100% of shares
Georgian State Electrosystem - 100% of shares
Electricity System Commercial Operator - 100% of shares
JSC Telasi - 24.5% of shares
Georgian Railway and GOGC are the main source of ...
PF funds private investors with the following conditions:
PF has a mandate to invest only in Georgia in any industry excluding services sector
PF invests only in commercially viable projects
PF is authorized to provide equity financing and also subordinated/senior loan (both convertible and non-convertible)
Maximum amount of funds (both debt and equity) that PF is able to invest in the project should not exceed private investor’s equity investment
PF’s objective is to remain mid to long term minority shareholder of the project. Once the project becomes sustainable, PF can exercise its exit option
Project Selection Criteria
Policy & Procedures
The partner should possess financial resources in form of equity to co-fund proposed investment project
Proposed investment project should be backed by feasibility study (Market Study)
PF participation should not exceed 50% of the total investment
The project should allow for exit of PF in 3-7 years from investment