The Armenian government has declared the acquisition of all Electric Networks of Armenia shares a matter of overriding public interest, with compensation to be determined independently.
Compensation to the owners of Electric Networks of Armenia (ENA) will be determined following an independent valuation.
The government has recognized 100% of the shares (equity) of ENA as a matter of overriding public interest.
Prime Minister Nikol Pashinyan has announced plans to close the door on settlement agreements in proceedings involving the confiscation of illegally acquired property and move to the final stage, Factor.am reports.
He added that the government’s “Plan A” is to bring ENA into state ownership and entrust its management to a leading international company or a group of companies.
“In other words, we have no intention of privatizing it. At least, that is our Plan A. If circumstances arise that prevent us from implementing this plan for objective reasons, only then will we consider alternative plans,” the prime minister emphasized.
Compensation for ENA’s owners will be determined following an independent valuation. The government has also outlined a procedure for resolving potential disagreements over the amount, Sputnik Armenia reports.
During the government meeting, Prime Minister Nikol Pashinyan asked how much money was expected to be paid to ENA’s current owners.
Responding to the question, Armenian Minister of Territorial Administration and Infrastructure Davit Khudatyan said that the exact amount of compensation had not yet been determined. He explained that the company’s value would be calculated based on an assessment conducted by a specialized organization.
“An assessment is carried out taking into account the company’s investments and dividends distributed during that period. The resulting valuation is then communicated to ENA’s owners, who have the right either to accept the price proposed by the government or to commission their own valuation from another organization licensed in Armenia. The two assessments are then compared. Alternatively, if ENA’s owners neither agree to the government’s offer nor commission their own valuation, the amount determined by the initial assessment is placed in a deposit account, and the transaction is effectively completed,” he explained.
Two public hearings were held this year at Armenia’s Ministry of Territorial Administration and Infrastructure on the draft decision to recognize the acquisition of 100% of ENA’s shares as a matter of overriding public interest. Representatives of Tashir Capital Closed Joint-Stock Company, an ENA shareholder, did not participate in those discussions.
Implementation of the expropriation is scheduled to begin no later than July 1 of the same year, with October 1, 2027, set as the deadline for completing the entire process.
On May 8, 2026, reports emerged that the government had offered $380,000 for ENA. The businessman described the government’s proposed amount as unacceptable, and negotiations between the parties consequently failed to take place. In June, it became known that the government intended to declare the acquisition of ENA’s entire share capital a matter of overriding public interest.
