How to apply?

To apply for the state support program for issuance and rating, it is necessary to send an electronic letter to the email address of the Ministry of Economy of the Republic of Armenia, [email protected], attaching the application and the required documents.

It is also necessary to send an official letter regarding the application for the program, addressed to the Minister of Economy. 

Requirements

To benefit from the support, one must be an organization registered and operating in the Republic of Armenia.

Support for the issuance, placement, and listing of bonds on the Armenian Stock Exchange can be utilized by organizations whose issued bonds:

• are monetary,
• have a circulation term of at least 36 months,
• have been placed through a public offering,
• have a market maker after the issuance.

Support for the issuance, placement, and listing of shares on the Armenian Stock Exchange can be utilized by organizations whose issued shares:

• have been placed through a public offering.

Organizations may apply for reimbursement of costs for the first 12 months of rating and servicing, if they:

• have obtained an international credit rating from one of the following international rating agencies: "Fitch," "Moody's," "Standard & Poor's," or "Scope Ratings," which is no less than 2 notches below the state's sovereign rating.

The followings cannot benefit from the support։

In the case of bond issuance, placement, listing on the Armenian Stock Exchange and rating:

• Financial companies licensed by the Central Bank of the Republic of Armenia (banks, credit organizations),
• Organizations engaged in regulated activities in the public utilities sector (energy, telecommunications, water, and other sectors),
• Organizations engaged in subsoil use (mining).

In the case of share issuance, placement, and listing on the Armenian Stock Exchange:

• Financial companies licensed by the Central Bank of the Republic of Armenia (banks, credit organizations).

Amount of Support

For the issuance, placement, and listing of bonds on the Armenian Stock Exchange:

• a maximum of 30 million AMD, equal to 2% of the nominal value of the placement, provided as one-time support after the completion of the bond issuance, placement, and listing process on the AMX,
• a maximum of 45 million AMD, equal to 3% of the nominal value of the placement, provided as annual support for the 3 years of the bond's circulation.

For the issuance, placement, and listing of shares on the Armenian Stock Exchange: 

• a maximum of 50 million AMD, equal to 80% of the expenses incurred, provided the expenses (audit, issuance, placement, and bank/exchange service costs related to listing on the AMX) are substantiated by corresponding documents.

For reimbursement of costs for the first year of rating and servicing: reimbursement of costs for the first year of obtaining and servicing the rating, at a rate of 50%.

The reimbursement of costs for the first year will be 80% if the organization issues, places, and lists bonds or shares on the Armenian Stock Exchange (AMX) within 18 months after obtaining the rating.

Required documents

To apply for the program, it is necessary to send an official letter addressed to the Minister of Economy to the email address of the Ministry of Economy, [email protected], attaching the application and the documents listed below.

The documents required to receive state support for the issuance of bonds or shares are:

• An application form, all pages of which must be signed, and which must contain the following information:
• Name of the applicant,
• Address of the applicant's activity,
• Applicant's phone number and email,
• Applicant's taxpayer identification number (TIN),
• Name, surname, and position of the head of the applicant's executive body,
• Type and class of the issued bonds or shares,
• Distinguishing code of the issued bonds or shares,
• Placed volume of the issued bonds or shares,
• Placed quantity of the issued bonds or shares,
• Nominal value of the issued bonds or shares,
• Date of issuance of the bonds or shares,
• Start of placement of the bonds or shares,
• End of placement of the bonds or shares,
• Name of the stock exchange,
• The list or platform of the stock exchange where the bond or share is listed,
• Date of listing,
• The abbreviation (ticker) granted to the bond or share by the stock exchange,
• Market maker(s) of the bonds or shares,
• The application for support received after the placement of bonds must also include:
• Date of maturity (redemption) of the bonds,
• Coupon yield (interest rate),
• Frequency of coupon payment,
• Information regarding each coupon payment,
• Documents confirming the information contained in the application and substantiating the expenses incurred. 

To obtain the application form for support for the issuance of shares, it is necessary to apply to the Ministry of Economy of the Republic of Armenia.

The documents required to receive state support for credit rating are:

• An application form, all pages of which must be signed, and which must contain the following information:
• Name of the applicant,
• Address of the applicant's activity,
• Applicant's phone number and email,
• Applicant's taxpayer identification number (TIN),
• Name, surname, and position of the head of the applicant's executive body,
• Name of the international rating agency,
• Date of the rating,
• The rating received, attaching the certifying document,
• Costs for the first year of obtaining and servicing the rating, attaching the certifying documents,
• Documents confirming the information contained in the application and substantiating the expenses incurred. 

To obtain the application form for state support for credit rating, it is necessary to apply to the Ministry of Economy of the Republic of Armenia.

Attention 
To fill out the application, it is necessary to download the Adobe Acrobat application, place the application form in the application, and fill it out on a computer. The application can be signed electronically using an identification card, or by hand. In case of signing by hand, it is necessary to print the application, sign all its pages, and scan it. The signed application must be sent to the email address of the Ministry of Economy.

Delivery period and procedure

• If the application is accepted, a contract is concluded with the beneficiary within 10 working days, which defines delivery period and procedure for providing the support.
• In case of non-approval of the application, the applicant is informed about it within 5 working days. If the documents are submitted incompletely, the applying organization may revise them and apply again within 10 working days after being notified of this. There is no possibility to apply for a third time.
• For questions regarding the state support program for issuance and rating, it is necessary to call (+374) 011 59-72-39.

Reference to legislation 

Decision of the Government of the Republic of Armenia No. 1125-L of July 6, 2023. 
The decision can be found on arlis.am.