TBC Bank prices US$75 million Subordinated Notes

TBC Bank prices US$75 million Additional Tier 1 Capital Perpetual

Subordinated Notes

NOT FOR PUBLIC RELEASE, PUBLICATION OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN OR INTO ANY JURISDICTION WHERE TO DO SO WOULD CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OF SUCH JURISDICTION

On Thursday, 28 October JSC TBC Bank (the "Bank"), the leading bank in Georgia, successfully priced a US$75 million 8.9% yield Additional Tier 1 Capital Perpetual Subordinated Notes issue (the "Notes"). The Notes are being offered and sold in accordance with Rule 144A and Regulation S.

The Notes meet the NBG criteria (consistent with Basel III requirements) for qualification as Additional Tier 1 Capital and will further strengthen the Bank's capital base and support the Bank's growth and sustainable development.

Vakhtang Butskhrikidze, CEO, TBC Bank, commented:

"We are happy that the new issue attracted solid demand from investors across EU, UK and US evidencing strong investor appetite for TBC's quality credit story. The AT1 issue will allow TBC Bank to maintain an efficient capital structure and strong capital base to fund mid-term growth opportunities". 

The book building followed a series of debt investor meetings and enjoyed strong investor appetite with an orderbook that peaked at over US$200 million, including a wide geographic distribution, represented by significant uptake in the UK, Switzerland and other Europe.

The Notes are expected to be listed Euronext Dublin's Global Exchange Market on or about 4 November 2021 and to be rated B- by Fitch.

Barclays, Citigroup, J.P. Morgan and Renaissance Capital are acting as Joint Bookrunners and Joint Lead Managers for the Notes, and TBC Capital is acting as Joint Lead Manager. Baker & McKenzie LLP and Dentons Georgia LLC are acting as legal advisors to the Bank, while Latham & Watkins LLP and BGI Advisory Services Georgia LLC are acting as legal advisors to the Joint Lead Managers.

MANUFACTURER TARGET MARKET (MIFID II PRODUCT GOVERNANCE / UK MIFIR PRODUCT GOVERNANCE) IS ELIGIBLE COUNTERPARTIES AND PROFESSIONAL CLIENTS ONLY (ALL DISTRIBUTION CHANNELS). NO PRIIPS OR UK PRIIPS KEY INFORMATION DOCUMENT (KID) HAS BEEN PREPARED AS NOT AVAILABLE TO RETAIL IN EEA OR UK. NO SALES TO RETAIL CLIENTS (AS DEFINED IN COBS 3.4) IN THE UK.

Notice of Product Classification by the Issuer under Section 309B (1)(c) of the Securities and Futures Act (Chapter 289) of Singapore - Prescribed Capital Markets Products and Excluded Investment Products.

This announcement is directed only at persons (i) outside the United Kingdom; (ii) that have professional experience in matters relating to investments falling within Article 19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (the "Order"); (iii) falling within Article 49(2)(a) to (d) ("high net worth companies, unincorporated associations etc.") of the Order; or (iv) to whom this announcement may otherwise be directed without contravention of Section 21 of the Financial Services and Markets Act 2000 (all such persons together being referred to as "relevant persons"). This announcement must not be acted on or relied on by persons who are not relevant persons. Any investment or investment activity to which this announcement relates is available only to relevant persons and will be engaged in only with relevant persons.

This announcement does not constitute or form a part of any offer or solicitation to purchase or subscribe for securities in the United States or in any other jurisdiction where it is unlawful to do so. The securities to which this announcement relates have not been and will not be registered under the U.S. Securities Act of 1933, as amended (the "Securities Act") or with any securities regulatory authority of any state of the United States or other jurisdiction and may not be offered, sold, pledged or otherwise transferred in the United States except pursuant to registration or an exemption from the registration requirements of the Securities Act and in compliance with any applicable state securities laws.

This announcement is not intended to be a public offer or advertisement of securities in Georgia.  No notification has been made to, and no consent has been sought or obtained from, the National Bank of Georgia (the "NBG") for a public offering of the securities referred to in this announcement in Georgia. The securities referred to in this announcement are not intended to and should not be advertised, marketed, offered, sold or otherwise made available in a public offering in Georgia to or for the benefit of any Georgian person or entity, unless and to the extent permitted under Georgian law. Any such securities may be offered and sold in Georgia only to "sophisticated investors" within the meaning of the 1999 Law of Georgia on Securities Market and its implementing regulations ("Sophisticated Investors"). In Georgia, this announcement is directed only at persons who are Sophisticated Investors and must not be released to or passed on to third parties or otherwise made publicly available in Georgia.

Applicable Banking Regulations / No offering to individuals-The Notes are not intended to be offered or sold and should not be offered or sold to any natural person for the purpose of Applicable Banking Regulations (as defined in the Conditions (as defined in the Offering Memorandum)).

A rating is not a recommendation to buy, sell or hold securities and may be subject to revision, suspension or withdrawal at any time by the assigning rating organisation. Similar ratings for different types of issuers and on different types of securities do not necessarily mean the same thing. The significance of each rating should be analysed independently from any other rating.

For further enquiries, please contact:

Director of International Media and Investor Relations

Zoltan Szalai

Or

Head of Investor Relations

Anna Romelashvili

[email protected]

About TBC Bank Group PLC ("TBC PLC")

TBC Bank Group PLC ("TBC PLC") is a public limited company registered in England and Wales. TBC PLC is the parent company of JSC TBC Bank ("TBC Bank") and a group of companies that principally operate in Georgia in the financial sector and other closely related fields. TBC PLC also recently expanded its operations in Uzbekistan. TBC PLC is listed on the London Stock Exchange under the symbol TBCG and is a constituent of FTSE 250 Index. It is also a member of the FTSE4Good Index Series and the MSCI United Kingdom Small Cap Index.

TBC Bank, together with its subsidiaries, is a leading universal banking group in Georgia, with a total market share of 38.1% of customer loans and 37.8% of customer deposits as of 30 June 2021, according to data published by the National Bank of Georgia.