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FITCH Assigns Georgian Water and Power ‘BB-‘ Ratings

International rating agency Fitch has assigned rating to company Georgian Water and Power (GWP).

The company’s rating has been determined by ‘BB-‘. The Outlook is Stable. The ratings are supported  by high reliability of the company, efficiency, and system management of “Georgian Water and Power”.

The rating reflects trust in the company, its financial sustainability, and solid management team. GWP is the first non-financial, private Georgian company to be assigned the same rating as the sovereign, the highest that can be granted to a company in Georgia. This development places significant responsibility on the company, as GWP is the first utility company in Georgia to reach such success.

“The mentioned novelty charges the company with high responsibility, as “Georgian Water and Power” is the first utility company in the country, which has achieved such success. This is an important stage for the company, which might improve corporate management of GWP and increases it possibilities to attract investments”, management of the company declares.

Fitch Rating is a leading rating agency in the financial service sphere. This is the foremost provider of credit ratings and research directions. Fitch’s rating is one of the basic indexes which are taken into the account by the international finical organizations and investors in order to make their future investments.

“After in-depth research and analysis conducted by Fitch Ratings, we are very pleased that Georgian Water and Power was assigned a Long Term Issuer Default Rating (IDR) of ‘BB-‘ / Stable Outlook. This positions GWP as the first Georgian non-financial company to be assigned the same rating as the sovereign, maximum possible. We would like to congratulate the company with this success and are pleased that yet another Georgian company has been rated by a leading international ratings agency. This is a significant milestone for the company, as being rated by such a reputable institution will improve GWP’s corporate governance and transparency and will enhance its ability to attract funds from foreign markets. Moreover, this is fundamental for the development of Georgian capital markets and attracting foreign investment in Georgian companies. 

At the same time, I would like to underline that Galt & Taggart acted as the exclusive ratings advisor to GWP. Our team supported the company at every stage of the process and was instrumental to the successful outcome. It marks the second successful ratings advisory project for Galt & Taggart. Galt & Taggart is the largest investment bank in Georgia with a full range of services for its corporate clients. Rating Advisory is yet another innovative service for the Georgian market that Galt & Taggart provides to the great success of its clients,” Archil Gachechiladze, Chairman of Galt & Taggart said.

According to GWP management, being rated by a leading international ratings agency will help the company attract investments in the sector, improve service quality, and eventually achieve a listing on the London Stock Exchange.