Gielda Papierów Wartosciowych w Warszawie S A : GPW to Acquire Armenia Securities Exchange

GPW to Acquire Armenia Securities Exchange

2022-05-24 16:27:49

Davos, 24 May 2022

GPW to Acquire Armenia Securities Exchange

PRESS RELEASE

• The CEOs of the Warsaw Stock Exchange (GPW) and the Armenia Securities Exchange (AMX) have signed a memorandum and initialled a Share Purchase Agreement
• The seller of the 65.03% stake in the Armenia Securities Exchange is the Central Bank of Armenia (CBoA)
• The ceremony at the World Economic Forum in Davos took place in the presence of the Presidents of Poland and Armenia: Andrzej Duda, President of the Republic of Poland and Vahagn Khachaturyan, President of Armenia
• The GPW Management Board and the GPW Supervisory Board approved the acquisition of shares in AMX on 19 May

On 24 May 2022, during the World Economic Forum in Davos, Marek Dietl, CEO of the Warsaw Stock Exchange (GPW), and Hayk Yeganyan, CEO of the Armenia Securities Exchange (AMX), signed a memorandum and initialled a Share Purchase Agreement setting out the terms of GPW's acquisition of a majority stake representing 65.03% of shares in AMX. The seller of the stake is the Central Bank of Armenia (CBoA), which currently holds 90.05% of the share capital of the Yerevan-based stock exchange. The agreement was initialled in the presence of Andrzej Duda, President of the Republic of Poland, and Vahagn Khachaturyan, President of the Republic of Armenia.

"We are not only taking over 65 percent of the shares but above all we are taking responsibility for the Armenian capital market. Our main goal is to transfer the experience of the 30 years of the Polish capital market to Armenia and, more broadly, to the South Caucasus as Armenia plays an extremely important role in the midst of capital flows in the region: for example, the seat of the Federation of Euro-Asian Stock Exchanges is in Yerevan," said Marek Dietl, President of the Management Board of GPW.

"I am very happy that the agreement has been signed and the cooperation will now unfold. These are the first tangible effects of what is happening here in Davos and the way that Poland is promoted here," said Andrzej Duda, President of the Republic of Poland, during the press briefing on the second day of the World Economic Forum in Davos.

As a result of the transaction, GPW will become the majority shareholder of AMX with a block of 967 shares, representing a 65.03% stake in the company's share capital. CBoA will hold 372 shares representing a 25.02% stake in the company's share capital. The remaining 9.95% i.e. 148 shares are AMX's treasury shares.

As a result of the transaction, GPW will indirectly take control of the Central Securities Depository of Armenia (CDA), where AMX currently holds 100% of the share capital.

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On 18 September 2020, the GPW Management Board signed an agreement with the Central Bank of Armenia (CBoA) to negotiate the acquisition of a majority stake representing 65% of the shares in the Armenia Securities Exchange (AMX). On 19 May 2022, the GPW Management Board and the GPW Supervisory Board approved the acquisition of a 65.03% stake in the Armenia Securities Exchange.

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The Warsaw Stock Exchange Group (GPW Group) operates trading platforms for shares, Treasury and corporate bonds, derivatives, electricity and gas, and provides indices and benchmarks including WIBOR and WIBID. The index agent FTSE Russell classifies the Polish capital market as a Developed Market since 2018. The markets operated by the GPW Group are the biggest in Central and Eastern Europe. For more information, visit www.gpw.pl

Armenia Securities Exchange (AMX) is the only securities regulated market operator in Armenia. As an integrated exchange offering, AMX provides a full suite of services including listing, trading, clearing, information services and alternative market solutions. Investors receive a wide range of investment products and maximum transparency, together with the smooth and efficient execution and clearing of trade transactions. Being a 100% shareholder of the Central Depository of Armenia, AMX also provides integrated settlement solutions for both resident and non-resident clients by utilizing the central depository's international settlement network and relationships with global depositories. AMX as a group has a pivotal role in the Armenian financial system.
The mission of AMX is to enhance and develop the infrastructure of the Armenian capital market and create an attractive business environment. We will do this by becoming an active financing tool for the Armenian economy, enabling the raising of capital and investments. Through the expertise, experience and passion of our people, AMX ensures that our operations are built on foundations of quality, security and trust.