Overall Management of IAZ

IAZ O&M for the well-established, highly rated companies

Commercial Considerations and Principles​

IAZ has the ambition to implement a "best in class" Greenhouse Cluster Development through establishing, operating, and maintaining the 220 ha facility occupied by the IAZ, ancillary business, a Training Centre, and up to 93 farmers and greenhouse investors. Furthermore, IAZ will function as a single-window service provider for the tenants of the IAZ.​

IAZ is considering different approaches to the achievement of these goals:​

  • Operations and management (O+M) contract with the IAZ for establishing and maintaining the services provided by IAZ for the tenants and the general public of the Imereti region.​​

  • Equity investment in IAZ, through a PPP structure under Georgian PPP requirements, combined with an O+M contract as above.​​

  • Outright purchase of the IAZ, gaining full ownership and exercise of control of the Greenhouse Cluster Development, subject to commitments to deliver the predefined Policy Outcomes. ​

The commercial principles to be adopted for the Project will be consistent with Georgia's applicable laws and policies, including Georgia's PPP Policy and Guidelines. 

Payment Mechanism and Performance Regime​

Should the preferred approach involve a PPP structure, an appropriate payment mechanism, and performance regime will be implemented according to and under the guidance of Georgia's PPP Agency. Such an approach is envisaged to entail predefined service payments and abatements.​

Project Finance​

 

At Stage 2, i.e., the RfP process, IAZ will require fully private sector financed Proposals. Therefore, respondents' proposed financing structures should seek to optimize the level of efficiently priced private sector finance.​

IAZ is actively considering transforming itself to a Joint Stock Company (JSC) in Q3 / 2021 to facilitate the participation of private ownership and – subject to a listing of the shares – allow for easy purchase and sale of participations.​