Bank Of Georgia Share Discussion Threads

[jm65] 26/2/2024 07:35

Anyone know when the Q4 results are coming out?

[pj84] 26/2/2024 00:34

Looks like it has been bought.

"Press Release

on Reaching an Agreement on Sale of 100% Shares

of Halyk Bank Kyrgyzstan OJSC

10 November 2023

Halyk Bank of Kazakhstan Joint Stock Company (LSE: HSBK; KASE: HSBK, HSBKd; AIX: HSBK, HSBK.Y) announces that it has reached an agreement with a consortium of buyers, which are the part of Visor International DMCC investment group ("Visor") to sell 100% shares of Halyk Bank Kyrgyzstan OJSC (the "Bank").

The transaction is expected to be completed after obtaining the consent from the National Bank of the Kyrgyz Republic.

Halyk Bank Kyrgyzstan OJSC provides services to current and potential customers in a normal course of business, ensuring safety of customers' funds and fulfillment of its obligations.

Visor Group intends to retain the Bank as a separate legal entity, and to continue its development in Kyrgyzstan."

[flyfisher] 24/2/2024 20:09

Halyk listing in uk appears to be $ based and are unavailable to trade in either of my accounts.

Fitch view on the BGEO credit rating post acquisition.

[popit] 24/2/2024 19:33

Halyk Bank is listed on the LSE

Forecast PE is less than 3
Dividend yield is about 15%
Price to Book is about 0.8


Secure Trust Bank

Forecast PE is less than 3
Dividend yield is about 7%
Price to Book is about 0.4

[flyfisher] 24/2/2024 12:51

Where is halyk listed?

[disc0dave46] 24/2/2024 11:34

Wouldn't say overly expensive but RSI is in over bought territory.

[popit] 24/2/2024 06:00

This is starting to look quite expensive now when compared to other value banks such as STB and Halyk which are both on a forecast PE of less than 3

[thorpematt] 22/2/2024 20:53

I always liked Lord Lee's asertion that "you can;t go far wrong with 7,7 stocks".

(That's a paraphrase / mis-quote I am sure).

But the gist is that if the divi is > 7% and the PER is< 7 you will do OK in the mid-term.

Here of course we beat both those metrics.

[pj84] 22/2/2024 15:46

Even after the strong share price rise that would still only put it on a forward P/E of 4!

[flyfisher] 22/2/2024 12:28

Marketscreener broker forecasts have been upgraded to 1133p eps for 2024.

Seems a bit optimistic to me.

[thorpematt] 21/2/2024 20:16

thanks for the heads up.

I think the deal adds compelling additional value (as if it weren't obviously there already).

I think this one paragraph form Cavendish sums it uo best:

"We would again stress here that the value in Bank of Georgia’s proposed acquisition of Ameriabank is not based on the requirement for cost or revenue synergies – we believe that this will come in time, but on Day 1 earnings accretion comes simply from investing excess capital, in what is a compelling strategic deal."

[flyfisher] 20/2/2024 18:48

A new analyst price forecast is in the analyst coverage section on the bgeo website.

It is from Cavendish, who assisted with the acquisition. The full broker note is available on research tree and is worth a read.

[abrahe00] 19/2/2024 10:21

I am an Armenian, I live in Armenia and I bank with Ameriabank!

Ameria has been one of the best growing banks over the past 7 years, since I've been here. I don't knwof if this is a good deal for Armenia as a country, so the Central Bank may not approve the deal. Having said, money talks, bs walks in countries like ours, so it all depends who gets to be rich from this deal.

As a customer, I think it's brilliant that there is now some ECB oversight. Makes us less dependent on the old Russian money that set most of the banks up in Armenia.

As for in invasion by Azeris. You never know, but any invasion is likely to be centred around the south of the country. No physical danger as such in the capital. But, war is always good for making money, no?

I haven't invested here yet. Phenomenal growth over the past 5 years. Not sure it's sustainable though, given the precarious position of most banks and central banks.

GLA

[flyfisher] 19/2/2024 08:05

Internet search Ameriabank, will get you to their corporate site.

[peet1122] 19/2/2024 07:59

How can I access the accounts of Ameriabank flyfisher?

[flyfisher] 19/2/2024 07:46

I had looked at the accounts of Ameriabank over the weekend and was expecting that BGEO would have to pay around nav.

Accordingly the deal looks very good to me, it should lead to brokers upgrading BGEO eps forecasts to around £10 p/s.

P/e of 4 for the combined entity, a good use of excess capital.

[flyfisher] 17/2/2024 18:14

Best time to get a good deal!

[gaiusgracchus] 16/2/2024 22:03

Azerbaijan are about to invade Armenia. Not great timing on this deal!

[flyfisher] 16/2/2024 08:33

The potential acquisition looks to be about a fifth the size of BGEO and has about 15% market share in its country.

[houseofpain1] 15/2/2024 14:28

Although no details on price etc have been given, this potential Ameriabank deal looks positive. Should be earnings enhancing for BGEO given that Ameriabank's earnings are well in excess of the interest being earned on the surplus capital presumably being used to finance the deal. So should lead to higher earnings and therefore capital returns for BGEO which is still trading on rock bottom multiples.

[flyfisher] 01/2/2024 16:00

Q4 figures seem in line with expectations. Numis paused the buy in at year end having only completed half of it. I would expect them to pick it up again shortly.

[flyfisher] 13/1/2024 21:08

PJ84, Well done, a cracking investment.

[pj84] 04/1/2024 17:56

Even though the rating has continued to remain low, it has been one of my best investments over the past few years with about 75% of my original investment received in dividends as well as the share price being 4 times higher and I have no intention of selling any time soon.

I don't disagree with any of the dividend yields qouted in the shares magazine article but I don't think they are the highest and I can think of many insurance companies that should also feature including Pheonix on a dividend yield of about 10%!

[jm65] 04/1/2024 15:23

Because the guy running the country next door seems hell bent on world domination???

[houseofpain1] 04/1/2024 15:17

hxxps://www.sharesmagazine.co.uk/news/shares/the-five-highest-yielding-stocks-in-the-ftse-350-revealed

Bank of Georgia has the third highest yield in the FTSE350 with dividend cover of 4.1x - the highest of the top 5 by some distance. Shares have performed superbly over the last two years but there's been no meaningful change to the rating - still trading under 4x 2024 expected earnings and a shade above 2024e book value. Returning tons of capital via dividends and buybacks. I think the shares still have a lot further to go. Tell me why I'm wrong...!?