Silk Real Estate Issues First 1-Year, 7 Million Euro Public Bonds in Local Market

Silk Real Estate, a leading name in Georgia’s real estate management and hospitality sector, has successfully launched its first public bond issuance denominated in euros. Supported by TBC Capital, Galt & Taggart, and Silk Bank, the company has placed bonds totaling 7 million euros on the stock exchange.

This issuance follows the successful placement of two USD-denominated tranches by Silk Real Estate. The first tranche, issued in April 2023, amounted to USD 20 million with a fixed annual coupon rate of 9.00%. The second tranche, also valued at USD 20 million and featuring a 9.25% coupon rate, was placed in September 2023. Both offers garnered substantial interest from local and international investors.

The newly issued Euro-denominated bonds offer an annual interest yield of 7.0%. Silk Real Estate intends to use the proceeds from the bond sale to manage existing liabilities. This third bond placement on the Georgian Stock Exchange underscores the company’s continuous growth, effective collaborations with financial partners, and overall market success.

Mamuka Shurghaia, Executive Director of Silk Real Estate, commented on the issuance, saying, "This marks another significant milestone as we issue our first Euro-denominated 1-year bonds on the stock exchange. The total value of bonds issued last year reached 40 million dollars. I extend my gratitude to everyone involved for their dedication and professionalism in making this a success.