Armenia Moves to Take Over 100% of ENA Shares

Armenia's government declared an "overriding public interest" in 100% of the shares of Electric Networks of Armenia (ENA), the national electricity distributor, at its Cabinet session on 15 October 2026, ARKA and Armenpress reported. The decision does not transfer ownership by itself. It starts a legal process, based on Article 60 of the Constitution as ARKA reports, under which the state can acquire the shares after a valuation.

The step formalises a takeover that began in 2025, when the government adopted emergency rules to take over ENA's management, citing alleged mismanagement. Armenpress noted that ENA denies those allegations.

Who owns ENA

According to the government figures presented by Minister of Territorial Administration and Infrastructure Davit Khudatyan, about 70% of ENA is held by Tashir Capital CJSC and about 30% by Liormand Holdings Limited. Armenpress describes ENA as owned by Samvel Karapetyan's Tashir Group.

How the process works

The Public Services Regulatory Commission acted against ENA's distribution licence before the decision. ARKA reports that the licence was revoked with effect from 17 November 2025, while Armenpress describes it as suspended; CBJ has not been able to reconcile the two accounts. The ministry then proposed that shareholders transfer all shares to the Republic of Armenia, and the owners did not accept within the legal deadline.

Armenpress set out the next steps. Within two months of the decision entering into force, the ministry must draw up a property description record, a period that can be extended once by up to two months. The shares are then valued at market value within three months of the record being approved. The valuation covers actual, contingent and off-balance-sheet liabilities, loans, guarantees, court and arbitration proceedings, and the company's ownership history since privatisation. Shareholders may submit their own independent appraisal, take part in discussion of the record and appeal it to the ministry or a court within one month of receiving it.

ARKA adds that if owners reject the government's offer without commissioning their own valuation, the initial valuation amount goes into a depository account and the transaction is considered complete. A draft decision, as ARKA reports it, sets 1 May 2027 for starting the share divestment, 1 July 2027 for implementation and 1 October 2027 for completion. Armenpress lists the same three dates without years.

Who will run the network

Interim ENA manager Romanos Petrosyan said the decision does not complete nationalisation, ARKA reported. Once state ownership is registered, management could be handed to international energy companies, and five of them have expressed interest in managing ENA under a concession, he said. Khudatyan said interim management "cannot serve as a final solution for the system's long-term and sustainable management", according to Armenpress.

Prime Minister Nikol Pashinyan said a high turnover does not by itself imply a correspondingly high value when a company carries significant liabilities, Armenpress reported. He also said the state is not linking the takeover to a separate examination of how ENA was privatised.

What to watch

• The property description record due within two months, which will show the liabilities and risks the state counts against the price.
• The valuation figure. No price has been set, and the method gives the valuer room to weigh liabilities heavily; how far that narrows the price is not yet known.
• Any appeal by the shareholders, which the process allows within one month of receiving the record.
• The choice of an international operator under a concession, and whether the 2027 dates hold.

Sources: ARKA, 15 October 2026; Armenpress, 15 October 2026