OREANDA-NEWS. On November 20, 2007 the Supervisory Board of the Georgian Stock Exchange (the "GSE") announced that its shareholders have received an unsolicited indication of interest by a leading European stock exchange operator. The members of the GSE Supervisory Board were notified of the approach simultaneously with the shareholders, reported the press-centre of Georgian Stock Exchange.

The Supervisory Board has commenced, a few weeks ago, preparatory work to demutualise the GSE and has initiated a dialogue with the government and parliament in this respect, as legislative changes are needed for the demutualisation to occur. The Supervisory Board hopes that the required legislative changes will take place over the next few months, and intends to advocate for minimal ownership restrictions if any at all, perhaps solely in the context of "fit and proper" checks of owners of significant stakes.

The Supervisory Board and management believe that the GSE will benefit significantly from a demutualised, open ownership structure, allowing both strategic and financial investors to build a stake in the market. The Supervisory Board wishes to reiterate that it is well aware of its fiduciary duties and, in the event of a firm, credible and fully-funded offer from any investor after the demutualisation is completed will review any such offer carefully in order to provide its recommendation to the shareholders, as well as search for alternative offers, including on an accelerated timetable if so required.