Warsaw Stock Exchange Acquires 65.03% Stake in Armenia Securities Exchange

The Warsaw Stock Exchange (GPW) has signed a share purchase agreement with the Central Bank of Armenia (CBoA) to acquire 65.03% majority shares in the Armenia Securities Exchange (AMX).

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Upon the transaction completed, GPW will become the major shareholder of AMX, holding 967 shares, accounting for 65.03% of the company's total share capital. CBoA will hold 372 shares, accounting for 25.02% of the total capital. The remaining 9.95% of the shares are treasury shares of AMX. Furthermore, GPW will also indirectly control the Central Depository of Armenia (CDA), in which AMX owns 100% shares.

The GPW Management Board signed an agreement with CBoA on September 18, 2020 to negotiate the acquisition of a majority stake in AMX. On May 19, 2022, GPW was approved to acquire a 65.03% stake in AMX. Besides, Marek Dietl, President of the Management Board of the Warsaw Stock Exchange (GPW), and Hayk Yeganyan, President of the Management Board of the Armenia Securities Exchange (AMX), signed on May 24 a memorandum and initialled a Share Purchase Agreement setting out the terms of GPW's acquisition of a majority stake in AMX.

"We firmly believe that this transaction lays new foundations in Polish-Armenian relations as a clear expression of the 700-year history of mutual trust and respect that binds our two nations," said Dietl. "Poland and the Warsaw Stock Exchange are helping Armenia to build economic relations with the West in small steps. We consider this investment as a long-term partnership. Our aim is to recreate with joint efforts the capital markets of Armenia and thrive to extend our business further into the region. We also expect to develop the capital markets infrastructure, creating opportunity for businesses to raise sustainable and affordable capital while enabling the investors and savers to manage their savings and investments more professionally within a wider range of investment products and opportunities.”

Martin Galstyan, Governor of the CBoA, said: "We believe this to be an important milestone in the development of Armenian capital markets. Having found such a partner in the Warsaw Stock Exchange, realizing we have the same vision and similar aspirations, we believe this deal to be a turning point in the chronicles of capital markets in Armenia. Under the leadership of the Warsaw Stock Exchange, with their experience and knowledge, AMX has the full potential to expand and become the robust stock market ready to take up the challenges of the 21st century and lead the region."