Shares of Karabakh Energetic Giant find their First Owners

PanARMENIAN.Net - "Already 200 people from small and medium-sized businesses have subscribed for IPO "Artsakh Hydro Power Station" for the total amount of 150 m drams as per yesterday's data, said Aram Kaifajyan, Director General of "Armenbrok" OJSC at the press-conference in Yerevan, Tuesday, summing up the results of "Artsakh Hydro Power Station" IPO held until March 10.



As Kaifajyan says, in the future they plan to cut the State's shares in the company, as the number of share-holders is essential for IPO realization. The Karabakh company IPO will enable the residents, foreign citizens, and organizations to effectively invest their financial resources and expect dividends.



Aram Kayfajyan singled out the basic reasons why obtain the shares: high profitability of both "Artsakh Hydro Power Station" and the energy field where a tariff rise is expected, then the company's top-quality staff, also no shortage of any raw materials necessary for production. As "Armenbrok" OJSC forecasts by 2010 the profitability according to IPO is expected to rise to 10-15% and under the conditions of increasing prices on electric power the profitability will be increasing.



It should be mentioned that the total amount of emissions of "Artsakh Hydro Power Station" OJSC shares made 3.45 billion drams (more than $9.5 m). The total amount of shares offered will make 3285715, 1050 drams per share. The free-float for IPO makes 40%, the rest 60% remain as state property. "Armenbrok" company is the consultant and underwriter of the emission.



"Artsakh Hydro Power Station" OJSC is one of the leading companies in the energy sector of Nagorno- Karabakh which at present satisfies only 40-60 % of the needs of NKR's electric power system. The means gained through offering will be used for the construction of three small Hydro Power Stations in NKR on the Tartar river. The new Hydro Power Stations will help cover more than 85% of domestic needs in NKR's Energy Sector.