{"id":144732,"date":"2026-07-13T10:49:24","date_gmt":"2026-07-13T10:49:24","guid":{"rendered":"https:\/\/my.legal500.com\/guides\/?post_type=comparative_guide&#038;p=144732"},"modified":"2026-07-13T11:21:20","modified_gmt":"2026-07-13T11:21:20","slug":"armenia-shareholder-activism","status":"publish","type":"comparative_guide","link":"https:\/\/my.legal500.com\/guides\/chapter\/armenia-shareholder-activism\/","title":{"rendered":"Armenia: Shareholder Activism"},"content":{"rendered":"","protected":false},"template":"","class_list":["post-144732","comparative_guide","type-comparative_guide","status-publish","hentry","guides-shareholder-activism","jurisdictions-armenia"],"acf":[],"appp":{"post_list":{"below_title":"<div class=\"guide-author-details\"><span class=\"guide-author\">Poghosyan Legal Consulting<\/span><span class=\"guide-author-logo\"><img src=\"https:\/\/my.legal500.com\/guides\/wp-content\/uploads\/sites\/1\/2026\/06\/Logo-PLC.jpg\"\/><\/span><\/div>"},"post_detail":{"above_title":"<div class=\"guide-author-details\"><span class=\"guide-author\">Poghosyan Legal Consulting<\/span><span class=\"guide-author-logo\"><img src=\"https:\/\/my.legal500.com\/guides\/wp-content\/uploads\/sites\/1\/2026\/06\/Logo-PLC.jpg\"\/><\/span><\/div>","below_title":"<span class=\"guide-intro\">This country specific Q&amp;A provides an overview of Shareholder Activism laws and regulations applicable in Armenia<\/span><div class=\"guide-content\"><div class=\"filter\">\r\n\r\n\t\t\t\t<input type=\"text\" placeholder=\"Search questions and answers...\" class=\"filter-container__search-field\">\r\n\t\t\t<\/div>\r\n\r\n\t\t\t\r\n\r\n\r\n\t\t\t<ol class=\"custom-counter\">\r\n\r\n\t\t\t\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">What are the principal sources of laws and regulations relating to shareholder rights and activism?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Armenia does not have a dedicated legal framework governing shareholder activism. Shareholder relation with the company is mainly governed by Civil Code of the Republic of Armenia, RA Law On Joint Stock Companies, which provides the rights and obligations of shareholders, and ensures the protection of the rights and lawful interests of shareholders and creditors; also, by market regulation and economic competition laws, including RA Law On Protection of Economic Competition and Consumer Interests. Certain aspects are also regulated by the Law of the Republic of Armenia on the Securities Market.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">How is shareholder activism viewed in your jurisdiction by regulators, shareholders and the media?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Considering that activist groups are essentially absent from Armenia, there are no particular attitude or views towards this phenomenon.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">How common are activist campaigns and what forms do they take? Is activism more prevalent in certain industries?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Activist campaigns are rare and limited in Armenia. When disputes occur, they tend to be legal or board level (court challenges, meeting disputes, derivative claims) rather than sustained public proxy fights or coordinated public campaigns. In practice forms of activism that take place can be distinguished: litigation and court proceedings, where shareholders use court actions to challenge meeting resolutions or seek remedies for breaches of law; through meetings by calling extraordinary general meetings, proposing agenda.<\/p>\n<p>The authoritative practice guide does not identify particular sectors as hotspots for activism. Activist groups are effectively absent so there is no reliable evidence that activism is concentrated in specific industries.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">How common is it for shareholders to bring litigation against a company and\/or its directors and what form does this take?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>In Armenia corporate litigation is relatively rare. Most of the time shareholders try to negotiate privately to achieve desired outcome. Typical legal forms of shareholder litigation are applying to court for the purpose of appealing against decisions adopted by the meeting which contradict the laws and other legal acts in force; company\u2019s shareholder owning one or more percent of the placed ordinary stocks of the company have the right to bring an action against board members, the director (general director), members of the administration and directorate as well as the management organization and manager to court with a claim for compensation for damages caused to the company.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">What rights do shareholders\/activists have to access the register of members?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Upon the request of a shareholder, a company shall be obliged to provide that shareholder with copies of the list of registered shareholders within five days. Shareholders may also obtain other documents like company\u2019s annual reports, annual financial statements, the minutes of the general meetings, as well as those of the meetings of the board, control committee (controller) and collegial executive body, other documents provided by law, except for confidential information.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">What rights do shareholders have to requisition a shareholder meeting or table a resolutions in connection with a meeting? Who is responsible for the costs involved?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Shareholder(s) holding, as of the date of submitting such request, at least 10 % of the number of votes granted by the Company voting stocks may require the board to convene an extraordinary general meeting. The board must convene an extraordinary meeting within 45 days upon the submission of the request. But the decision of the board on convening or refusing to convene an extraordinary meeting shall be adopted within 10 days upon receiving the request. A decision of the board on convening or refusing to convene an extraordinary meeting may be appealed against through judicial procedure. If the board does not adopt a decision on convening an extraordinary meeting or adopts a decision on refusing to convene such meeting, the extraordinary meeting may be convened by the persons who had requested the meeting. In such cases, the extraordinary meeting may adopt a decision for the Company to compensate for the expenses related to the convening of the meeting.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">What rights do shareholders have to circulate statements to shareholders in connection with a meeting?  Who is responsible for the costs involved?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Shareholders in Armenia can circulate statements to other shareholders in connection with a general meeting, but the right is limited by the meeting agenda rules, statutory thresholds for proposing items, and the company\u2019s notice and confidentiality procedures\u2024 Companies must provide information and materials relating to the meeting to shareholders during the meeting preparation period. Shareholders may therefore circulate materials that relate to agenda items. The meeting is not authorized to modify the agenda or adopt decisions on issues not included in the agenda. It is important to note that any shareholder who holds at least 2% of the company&#8217;s voting shares can suggest up to two items to be discussed at the annual shareholders&#8217; meeting.<\/p>\n<p>The suggestions must be made within 30 days after the company&#8217;s fiscal year ends, unless the company&#8217;s charter provides more time.<\/p>\n<p>Circulation is most effective during the company\u2019s meeting preparation period: the period when the company must make meeting materials available and when agenda proposals are submitted.<\/p>\n<p>Usually, the initiator is responsible for the costs that may arise.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">What percentage of share capital is needed to appoint or remove a director?  What is the process?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>In an Armenian Joint-Stock Company (JSC), the authority to appoint or remove members of the executive body (director(s)) is generally vested in the General Meeting of Shareholders or, in some cases, the Board of Directors, depending on the company\u2019s charter. By default, decisions on appointing or removing a director at a General Meeting of Shareholders are made by a simple majority of the votes of shareholders present. This usually means that shareholders representing more than 50% of the voting shares present at the meeting can adopt such a resolution. The company\u2019s charter can impose a higher threshold, such as a two-thirds majority of the total share capital, for important governance decisions including early removal of a director.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">What percentage of share capital is needed to block a shareholder resolution?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>The voting threshold needed to prevent a shareholder resolution varies with the type of resolution. For resolutions presented at ordinary general meetings, a simple majority of the votes cast is sufficient, meaning that a shareholder with at least 50% of the votes can block the resolution. The blocking stakes are different accordingly where law or the charter requires a two thirds (66.67%) or three quarters (75%) majority (e.g. for charter amendments, reorganization, liquidation of a company).<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Do holders of other instruments have any of the above rights?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Holders of non\u2011equity instruments generally do not have statutory shareholder rights in Armenia unless the instrument converts into shares or the company charter expressly grants them voting or meeting rights; preferred shares and other equity\u2011like instruments can carry voting or agenda rights if the charter or shareholder agreement provides them.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Is stamp duty payable on share acquisitions and can this be avoided\/mitigated?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>No stamp duty is payable on the transfer or acquisition of shares in Armenia. Share acquisitions are also generally exempt from VAT. While there is no stamp duty, procedural fees like registration with the State Register is applicable.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">To what level can you acquire shares without having to disclose your position?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Under the Law of the RA on the Securities Market, there is generally no obligation to disclose a shareholding position if the acquisition does not result in the acquirer holding 5% or more of the voting shares of the issuer. The disclosure obligation is triggered when a shareholder&#8217;s holding reaches, exceeds or falls below the statutory thresholds of 5%, 10%, 20%, 50% or 75% of the voting shares.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Is the disclosure threshold different if the issuer is subject to a takeover offer?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Under Armenian law, the disclosure thresholds are not different where the issuer is subject to a takeover (tender) offer. The notification obligation remains triggered when a person&#8217;s holding reaches, exceeds or falls below the statutory thresholds of 5%, 10%, 20%, 50% or 75% of the voting shares. However, separate rules relating to tender offers and mandatory tender offers may apply in the context of a takeover.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Are there any rules which restrict the extent to which you can build a position?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Under Armenian law, there are generally no absolute restrictions on the percentage of shares that may be acquired.<\/p>\n<p>However, the ability to build a position is subject to several regulatory constraints and consequences once certain thresholds are reached, in particular under the Law on the Securities Market, including:<\/p>\n<ul>\n<li>Disclosure obligations when a shareholder\u2019s voting rights reach, exceed, or fall below 5%, 10%, 20%, 50%, or 75%.<\/li>\n<li>Mandatory tender offer requirements where a shareholder acquires a controlling stake (generally at or above 75% of voting shares), requiring an offer to minority shareholders.<\/li>\n<li>\u201cActing in concert\u201d rules, under which coordinated acquisitions by multiple persons are aggregated and treated as a single holding for threshold and takeover purposes.<\/li>\n<li>Sector-specific regulatory approvals, which may restrict or condition acquisitions in regulated industries (e.g. banking, insurance, investment services).<\/li>\n<li>General compliance with market abuse and insider dealing rules, which may limit trading behavior where inside information is held.<\/li>\n<\/ul>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Are there circumstances in which a mandatory takeover is required?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Yes. Under Armenian law, a mandatory takeover may be required in certain circumstances involving acquisition of control over a listed joint stock company.<\/p>\n<p>In particular, under the Law on the Securities Market of the Republic of Armenia, a mandatory tender offer obligation is generally triggered where a person (alone or acting in concert with others) acquires 75% or more of the voting shares of a listed issuer.<\/p>\n<p>The purpose of this rule is to protect minority shareholders by ensuring they are given an opportunity to exit the company on equivalent terms when a controlling stake is acquired.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Does collective shareholder action or \u2018acting in concert\u2019 have any consequences?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Yes, collective shareholder action or \u201cacting in concert\u201d has significant legal consequences, particularly in the areas of disclosure obligations, takeover regulation, and market abuse.<\/p>\n<p>Concert parties are generally treated as a single economic unit for the purposes of shareholding disclosure requirements. This means that their individual holdings are aggregated, and if their combined shareholding crosses statutory thresholds (e.g., 5%, 10%, 20%, 50%, etc.), a disclosure obligation is triggered. Each member of the concert party may be required to notify both the issuer and the relevant regulator, and the issuer is typically obliged to publicly disclose this information.<\/p>\n<p>Acting in concert is highly relevant in takeover regulation. Where the aggregated holdings of concert parties result in the acquisition of control or the crossing of a mandatory offer threshold, the group may be treated as a single acquiring person. This can trigger a mandatory tender offer obligation, requiring the concert party to make an offer to purchase the remaining shares of the company under prescribed conditions.<\/p>\n<p>Concerted action may also have implications for market abuse and insider dealing rules. If members of a concert party possess and use non-public price-sensitive information when trading securities, each participating member may be liable under insider trading prohibitions.<\/p>\n<p>Acting in concert may increase exposure to regulatory scrutiny and potential liability, since regulators may treat coordinated shareholders as a unified group capable of exerting significant control over corporate decisions.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Do the same rules and thresholds apply to other financial instruments?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>No. The disclosure and takeover thresholds apply specifically to voting shareholdings in listed joint-stock companies. The law does not apply the same thresholds generally to other financial instruments such as bonds or other non-equity securities<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">If an activist makes a takeover offer, what impact might any prior share purchases have on the minimum offer price or the form of consideration that must be offered?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Prior acquisitions by an activist investor may have a significant impact on both the minimum offer price and the form of consideration in a takeover context.<\/p>\n<p>Under Article 148(2) of the Law on the Securities Market and Chapter 6 of Central Bank Regulation 4\/10, a tender offer must not be made below the market price. The market price is defined as the higher of (1) the highest price paid by the offeror for the same class of securities during the preceding 12 months, and (2) the volume-weighted average market price of the same class of securities over the preceding 6 months.<\/p>\n<p>Accordingly, if the activist acquired shares at a higher price prior to launching the offer, that price will set a minimum floor for the offer price and may increase the overall mandatory offer price, ensuring equal treatment of all shareholders.<\/p>\n<p>As to the form of consideration, Article 148(11) allows voluntary tender offers to be made in cash, securities, or a combination of both. In contrast, under Article 152, mandatory tender offers are subject to stricter requirements and must be made in cash, thereby ensuring minority shareholder protection and equal treatment.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">What measures are available to companies to protect against an activist campaign?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Under Armenian law, measures available to companies to protect against activist campaigns are mainly regulated by the Law on Joint-Stock Companies of the Republic of Armenia and the Law on the Securities Market of the Republic of Armenia, supplemented by regulations of the Central Bank of Armenia.<\/p>\n<p>Defensive mechanisms relating to corporate governance such as the powers of the general meeting, the board of directors, share issuance, and shareholder rights are governed primarily by the Law on Joint-Stock Companies.<\/p>\n<p>In addition, disclosure obligations, takeover-related rules, and market conduct issues (including shareholding thresholds and tender offer procedures) are regulated under the Law on the Securities Market, as well as relevant Central Bank regulations on disclosure and tender offers.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Which director duties are particularly relevant in the context of an activist campaign?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Directors must act in the best interests of the company as a whole, rather than in the interests of any particular shareholder group. This is particularly important in activist situations where pressure may come from a minority shareholder with a specific agenda.<\/p>\n<p>Directors have a duty of loyalty and good faith, meaning they must avoid conflicts of interest and must not take actions primarily aimed at entrenching themselves in office rather than benefiting the company.<\/p>\n<p>Directors are required to exercise due care and diligence, ensuring that any response to an activist campaign (such as restructuring, capital measures, or strategic changes) is properly assessed and based on informed decision-making.<\/p>\n<p>Directors must ensure equal treatment of shareholders, especially when considering defensive measures that could advantage one group of shareholders over another.<\/p>\n<p>Finally, directors must act within their powers and in compliance with the law and the company\u2019s charter, meaning that any defensive strategy must be legally authorised and properly approved where required (e.g., by the general meeting).<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">What rights does a company have to require parties to disclose details of their interests (direct and indirect) in the company\u2019s share capital?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>In particular, the Law of the Republic of Armenia on the Securities Market establishes mandatory disclosure duties for shareholders. Persons who acquire significant holdings in a public company must notify both the issuer and the Central Bank when crossing statutory thresholds (e.g., 5%, 10%, 20%, 50%, 75%). This obligation also extends to situations of acting in concert, where holdings are aggregated and treated as one for disclosure purposes.<\/p>\n<p>In addition, the company itself is entitled to receive this information because the disclosure regime requires notification to the issuer (the company), which then has a duty to ensure proper public disclosure.<\/p>\n<p>Furthermore, the company may, through its charter and internal corporate governance rules (under the Law on Joint-Stock Companies), require shareholders to provide certain information necessary for maintaining the shareholder register and ensuring compliance with legal ownership requirements. However, such contractual or charter-based rights cannot go beyond or contradict the mandatory statutory disclosure framework.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Are there restrictions on companies selectively disclosing inside information to activists?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>The Law of the Republic of Armenia on the Securities Market prohibits the communication of inside information to third parties before it is made public, except in narrowly defined circumstances where disclosure is made in the normal course of a person\u2019s employment, profession, or duties and the recipient is subject to a confidentiality obligation.<\/p>\n<p>If inside information is disclosed selectively to certain investors (for example, during meetings with an activist shareholder or potential bidder), this may constitute unlawful selective disclosure unless the information is simultaneously made public or properly \u201ccleansed\u201d through publication.<\/p>\n<p>In addition, any person who receives inside information becomes subject to the insider trading prohibition, meaning they are not allowed to trade in the relevant securities or pass the information to others for trading purposes.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Are settlement agreements between a company and an activist permitted in your jurisdiction?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Yes, settlement agreements between a company and an activist shareholder are permitted in Armenia, provided they comply with general principles of corporate and civil law.<\/p>\n<p>Under Armenian law, in particular the Civil Code of the Republic of Armenia, parties are generally free to enter into settlement agreements to resolve disputes, including disputes between a company and its shareholders or activist investors. Such agreements may cover issues such as withdrawal of shareholder proposals, board representation, standstill obligations, or governance arrangements.<\/p>\n<p>However, these agreements are subject to important limitations under the Law of the Republic of Armenia on Joint-Stock Companies and the Law on the Securities Market. In particular, settlement terms must not:<\/p>\n<ul>\n<li>violate mandatory shareholder rights or the principle of equal treatment of shareholders,<\/li>\n<li>restrict statutory rights of shareholders in a way not permitted by law (e.g., voting rights or disclosure obligations),<\/li>\n<li>or circumvent mandatory provisions of corporate governance or takeover regulation.<\/li>\n<\/ul>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\r\n<div class=\"word-count-hidden\" style=\"display:none;\">Estimated word count: <span class=\"word-count\">3014<\/span><\/div>\r\n\r\n\t\t\t<\/ol>\r\n\r\n<script type=\"text\/javascript\" src=\"\/wp-content\/themes\/twentyseventeen\/src\/jquery\/components\/filter-guides.js\" async><\/script><\/div>"}},"_links":{"self":[{"href":"https:\/\/my.legal500.com\/guides\/wp-json\/wp\/v2\/comparative_guide\/144732","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/my.legal500.com\/guides\/wp-json\/wp\/v2\/comparative_guide"}],"about":[{"href":"https:\/\/my.legal500.com\/guides\/wp-json\/wp\/v2\/types\/comparative_guide"}],"wp:attachment":[{"href":"https:\/\/my.legal500.com\/guides\/wp-json\/wp\/v2\/media?parent=144732"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}