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SEAF Management, LLC is a global investment firm focused on providing growth capital to businesses in emerging markets. Based in Washington, DC, SEAF invests in more than 30 countries around the world.

SEAF established operations in Georgia in January 2007 to manage the Georgia Regional Development Fund (GRDF). The GRDF is a $30 million risk capital investment fund that focuses on long-term growth-oriented investments in growing and dynamic small and medium size enterprises. The Fund focuses particularly on businesses operating in the regions beyond Tbilisi and those operating in agribusiness and tourism ─ two sectors with significant growth potential in Georgia.

To date, GRDF project portfolio counts seventeen invested projects and two approved projects that are currently undergoing Fund’s pre-investment due diligence phase, with total investment value of USD 34,580,003. Please note, that approved projects are considered to be invested, once the due diligence results are satisfactory to the Fund and once the necessary investment preconditions are met. For further status updates on approved projects, please check our website later.

Company	Investment Project Description	Location	Status	Amount Invested
Doki, a construction materials retailer and wholesaler	An investment to support company’s expansion needs throughout Tbilisi	Tbilisi	In process	USD 1,700,000
Bazi, a Food canning, jarring and concentrate producer	An investment to support company’s expansion and product diversification needs to meet increasing market demand locally and internationally.	Saguramo	In process	USD 2,000,000
Rcheuli, a hotel chain operator	An investment to drive company’s growth and increase its market coverage, through expansion into regions of Georgia with key tourism potential.	Telavi, Signagi,Batumi, Kutaisi	In process	USD 1,800,000
Rcheuli, a hotel chain operator			In process	USD 1,800,000
Doki,a construction materials retailer and wholesaler	A follow on investment to finance working capital needs of the Company, targeted to sustain growth, win large customers and increase market share	Tbilisi	In process	USD 1,300,000
Doki,a construction materials retailer and wholesaler		Tbilisi	In process	USD 1,300,000
Piunik, an integrated poultry production operator	An investment to vertically integrate from poultry import to poultry production business, including but not limited to hatching and consumer egg production, Chicken incubation and production of animal feed.	Kaspi	In process	USD 2,000,000
Tetnuldi, a mountain hotel operator	An investment to finance re-development of a soviet times legacy hotel into a prime mountain hotel built and operating under international hotel industry standards.	Mestia	In process	USD 1,500,000
Ecopex, a hazelnut producer and exporter	An investment to expand company’s production capacity and increase its product base, through facility upgrade, working capital finance and purchase of hazelnut plantations.	Mtskheta	In process	USD 2,000,000
Prime Concrete, a concrete producer	An investment to support development of concrete production, transportation and pumping services in western Georgia.	Poti	In process	USD 2,000,000
Madai, a black sea fishing and processing industry player	An investment to support expansion of its fishing and production capacity, through purchase of fishing and transportation vessels and upgrade of the processing plant facility.	Poti	In process	USD 3,000,000
Dogan, an Animal feed and pet food producer	An investment to support company’s expansion, targeted at plant capacity expansion and working capital finance to accommodate growing list of customers.	Marneuli	In process	USD 700,000
Delta Comm, a provider of IT products and services in Georgia.	An investment to support fiber optic infrastructure development project throughout Georgia and plans to add access points to Turkey, Azerbaijan, and potentially, Armenia.	Throughout Georgia	In process	USD 3,000,000
		Throughout Georgia	In process	USD 3,000,000
Bazi, a Food canning, jarring and concentrate producer	A follow on investment to sustain growth during financial crisis and serve its customers, through finance of Company’s working capital needs.	Saguramo	In process	USD 480,003
Tetnuldi, a mountain hotel operator	A follow on investment to continue development of TETNULDI project, with an objective to address the local shortage of international standard hotel, to provide a competitively priced product, to support further business development, create employment and transfer knowledge to local construction and service industry employees.	Mestia	In process	USD 400,000
IOLI Supermarkets, a supermarket chain operator	An investment to facilitate Company’s growth and geographical expansion throughout Georgia, with aim to address undersupply of organized retail chains in Georgia.	Tbilisi / Regional	In process	USD 3,000,000
TEREMOK Group, a quick-service restaurant operator	An investment to facilitate an expansion of TEREMOK branded, quick-service restaurants into regions of Georgia, thereby enhancing competition in these locations to give customers more choice and creating stronger backward linkages to regional farmers providing raw materials to TEREMOK.	Tbilisi / Regional	In process	USD 1,000,000
Prime Concrete, a vertically integrated concrete producer	Follow on investment to facilitate company’s vertical integration into quarry project and capitalize on diversified company operations.	Poti	In process	USD 1,000,000
Ritseula Hesi, a small scale hydro power plant operator	An investment project is intended to co-finance rehabilitation of RITSEULA hydro power plant and further increase HPP’s capacity.	Ambrolauri	Approved	USD 3,000,000
A-NET, an internet service provider	An investment project is designed to set up a fiber optic network in Batumi and bring in the city a quality internet infrastructure based on innovative FTTH technology, not yet utilized in Batumi by other internet providers.	Batumi / Adjara	In process	USD 2,200,000
BIG, a micro credit loan provider	An investment project is aimed to support BIG to further expand its consumer finance operations in regions of Georgia.	Tbilisi / Regional	Approved	Up to USD 2,500,000

SEAF believes each of the investments GRDF has made represents meaningful opportunities for company growth, investment success, and larger positive impacts on the Georgian economy.

For example, the investment into Madai has been used to purchase Black Sea fishing ships, which arrived in the Poti port in May 2009. Madai is the first Georgian company utilizing fishing license rather than leasing it out to Turkish ships. This allows the company to make very significant gains in revenues and profit margins, as well as to generate new fishing jobs and skills for Georgians.

As another example, the investment into Piunik is financing the company’s progression from being a poultry importer only to incorporating its own production of eggs, incubation and feed, addressing limited supply from Armenia and growing demand in Georgia.

GRDF’s other investees are also pursuing strategic opportunities based on market demands and supply gaps in the Georgian market that can be addressed based on owners’ and managers’ expertise and the support and guidance that is being provided by SEAF and the Fund’s complementary $2 million grant facility.

To date, the Investees are benefiting from over 26 capacity building projects supported by Fund's grant facility in fields of financial and managerial accounting, marketing, quality and operations management. Furthermore, most of GRDF investees are in process of Management Information System implementation and transition towards IFRS accounting, which is made available with Fund's technical assistance projects. For details on completed and ongoing projects, please refer to Technical Assistance Projects page of our website.

Please click “GRDF Investment Portfolio” in the left hand column for more information on the GRDF portfolio.

The GRDF was established by and capitalized by the Millennium Challenge Georgia Fund (MCG). MCG was established by the Government of Georgia with funding from the Millennium Challenge Corporation, a United States Government corporation providing foreign aid with the mission of reducing poverty through the promotion of sustainable economic growth. For more information on MCG, please visit www.mcg.ge and for more information on MCC, please visit www.mcc.gov.