Yerevan /Mediamax/. State enterprises subject to privatization on “NASDAQ OMX Armenia” were named in Yerevan today.

In accordance with the decision of the government dated to September 23, state enterprises “Anderkaban” CJSC, “Yerevan Jramatakararman Ughemas”, “Urban Development Scientific-Research and Projecting Institute”, “Atomservice”, “Kaputak” and “Narek Rest House” are subject to privatization.

All the above-mentioned enterprises are medium-size companies, and the state is the 100% owner of those enterprises. The companies will be reorganized into open joint stock companies and their shares will be privatized by means of a simple open auction, held by the Exchange rules.

Head of Methodology Department of Armenian State Property Management Department Vahram Gasparyan stated today that within 2 months after the decision of the government is approved, these companies should undergo evaluation. Investment companies will be selected from the members of the Exchange. They will deal with placement of securities.

“NASDAQ OMX Armenia” Chief Executive Officer Armen Melikyan stated that one investment company will be chosen by means of a tender for placing the shares of each individual enterprise. The investment company will prepare the prospectus of the issue and will present it to registration. Armen Melikyan stressed importance of the role of company’s management after privatization, since the future of the enterprise in capital market will depend on it.

Vahram Gasparyan noted that there are about 500 enterprises with governmental share participation in Armenia. In about 100 of those enterprises, the government’s share makes 50-100%. Answering the question of Mediamax about the principle for choosing state enterprises for privatization on the Exchange, Vahram Gasparyan stated that the State Property Management Department of Armenia has presented to the Exchange, the list of state enterprises which demonstrate more successful financial indices, and 6 of them were selected by the Exchange.

Vahram Gasparyan expressed an opinion that the first listing of the companies to be privatized may take place in 3 months.