August 20, 2026
In mid-July 2026, international media, citing insider information from the Armenian outlet Azatutyun (RFE/RL), reported that Konstantin Sokolov had closed the deal to acquire the Teghut copper-molybdenum mine. According to these reports, the buyer of Teghut CJSC’s shares was the Armenian company Kuprar RA CJSC, whose shareholder, according to media, is Dynamic Frontier Limited (Texas, USA).
To complete the share purchase, the transaction required approval from the Commission for the Protection of Competition and Consumer Interests of the Republic of Armenia, which issued its decision on July 7, 2026. During the approval process, the beneficial owner of Kuprar RA was entrepreneur Sergey Virabyan, who — according to media reports — sold the company to Sokolov’s U.S. company immediately after the commission’s decision. As we previously noted, based on KPMG’s 2024 audit, Teghut CJSC has negative equity (with a charter capital of just 3.1 million AMD ≈ $3,221), rendering its shares essentially valueless, which suggests the share purchase agreement was largely nominal in nature.
Note: All companies involved in the transaction are closed joint-stock companies. This means that information about their shareholders is not available in the public register — the Electronic System of the State Register of Legal Entities of the Ministry of Justice (https://e-register.moj.am/) — but is maintained by the Central Depository of Armenia (https://cda.am/en), and is not publicly accessible. It is important to note that while the current public registry profile for mining operator Teghout CJSC still shows the pre-transaction beneficial owners (such as VTB Bank and its partners), this is a matter of legal timing. Under Armenian law, companies have a 40-day window to update their Real Owners Declaration following a change of control. Check TEGHUT BO Declaration here: https://e-register.moj.am/en/companies/39193721/declarations/7c9191c2-1273-451e-bc28-b0545abc029c.
We have reviewed the official document of the Commission for the Protection of Competition and Consumer Interests of the Republic of Armenia — Decision No. 269-A of July 7, 2026, obtained via the portal ef.competition.am.
What the document reveals. The content is striking in its opacity. Nearly all significant sections — from the size of the acquired stake to the ownership structure and financial indicators of the parties — are fully redacted, replaced with █[REDACTED]█. The only certainty we can extract from the document is the fact of concentration: Kuprar RA CJSC acquired some stake in the charter capital of Teghut CJSC. Everything else remains outside the public domain, making any substantive analysis of the transaction impossible based on this document alone.
This is a classic example of a formal public approval that provides minimal information, leaving researchers with little more than speculation.
Notably, according to our information, both Sergey Virabyan and Tigran Markosyan previously worked at Ardshinbank (formerly Ardshininvestbank) at different times, as well as within the Armenian government.
Below, we publish our English translation of Decision.
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REPUBLIC OF ARMENIA
COMMISSION FOR THE PROTECTION OF COMPETITION AND CONSUMER INTERESTS
DECISION
7 July 2026, No. 269-A
Yerevan
ON PERMITTING THE CONCENTRATION OF “KUPRAR RA” CLOSED JOINT-STOCK COMPANY AND “TEGHUT” CLOSED JOINT-STOCK COMPANY
The Commission for the Protection of Competition and Consumer Interests (hereinafter also referred to as the Commission), at its session on July 7, 2026, discussing the issue of permitting the concentration of “Kuprar RA” Closed Joint-Stock Company (hereinafter also referred to as the “Kuprar RA” Company) and “Teghut” Closed Joint-Stock Company (hereinafter also referred to as the “Teghut” Company),
HAS ESTABLISHED:
1. Brief description of the proceeding:
The “Kuprar RA” Company submitted an application to the Commission on June 11, 2026, and the “Teghut” Company submitted an application on June 12, 2026, requesting permission for the notifiable concentration. According to the submitted applications, the “Kuprar RA” Company plans to acquire █[REDACTED]█ of the charter capital of the “Teghut” Company.
Based on the applications of the “Kuprar RA” and “Teghut” companies, a proceeding to assess the concentration was initiated in accordance with the procedure established by law (hereinafter also referred to as the Proceeding).
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2. Documents and other information requested and obtained by the Commission:
1) Regarding “Kuprar RA” Closed Joint-Stock Company:
According to the information submitted to the Commission, “Kuprar RA” Company was founded on February 6, 2026, and is █[REDACTED]█.
The █[REDACTED]█ percentage share of the charter capital of “Kuprar RA” Company belongs to “█[REDACTED]█” Limited Liability Company (hereinafter also referred to as “█[REDACTED]█” Company).
According to the information submitted to the Commission, █[REDACTED]█.
The █[REDACTED]█ percentage share of the charter capital of “█[REDACTED]█” Company belongs to a physical person: █[REDACTED]█.
The value of the assets of “█[REDACTED]█” Company for the financial year 2025 amounted to █[REDACTED]█.
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The value of the assets of “Kuprar RA” Company as of the date of submitting the declaration amounted to █[REDACTED]█ AMD, and the amount of revenue was █[REDACTED]█ AMD.
According to the information submitted to the Commission, █[REDACTED]█.
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2) Regarding “Teghut” Closed Joint-Stock Company:
The “Teghut” Company was registered on May 22, 2006, and carries out the production and sale of copper ore and concentrates, and molybdenum concentrate. The █[REDACTED]█ percentage share of the charter capital of “Teghut” Company belongs to █[REDACTED]█.
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The ownership chain of “Teghut” Company: █[REDACTED]█.
The value of the assets of “Teghut” Company as of the end of 2025 amounted to 97,366,219,000 AMD, and the amount of revenue was 63,355,054,000 AMD.
The value of the assets of “Teghut” Company as of May 31, 2026, amounted to █[REDACTED]█ AMD, equity capital was █[REDACTED]█ AMD, and liabilities amounted to █[REDACTED]█ AMD.
The volume of copper ores and concentrates produced by “Teghut” Company during 2025 amounted to █[REDACTED]█ net metric tons (չմտ), and the volume of molybdenum concentrate was █[REDACTED]█ net metric tons (չմտ).
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3) Regarding the proposed transaction:
According to the applications submitted by “Kuprar RA” and “Teghut” companies, “Kuprar RA” Company plans to acquire █[REDACTED]█ percentage share of the charter capital of “Teghut” Company.
The ownership chain of “Teghut” Company after the Transaction: █[REDACTED]█.
According to information submitted by “Kuprar RA” Company on July 2, 2026, as soon as “Kuprar RA” Company becomes a shareholder of “Teghut” Company, it intends to ensure stable and socially responsible management of “Teghut” Company, in particular: █[REDACTED]█.
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4) Regarding the study conducted by the Commission:
According to the results of the study of the mining sector conducted by the Commission, regarding the activities of “Teghut” Company, it should be noted that the company was registered on 22.05.2006, but the actual operation of the mine started in 2015, carrying out the production and sale of copper ore and concentrates, and molybdenum concentrate.
The study of the mining sector showed that the dynamics of the change in gross added value in the mining industry and open-pit mining was mainly conditioned by the operation of the Teghut deposit, and with the suspension of its operations, the sector’s share in GDP decreased.
According to information available in the EITI (Extractive Industries Transparency Initiative) publications (eiti.am):
- In 2022, copper ores and concentrates were produced in the Republic of Armenia by:
- “Zangezur Copper-Molybdenum Combine” Closed Joint-Stock Company: 242,439 net metric tons (թմտ),
- “Agarak Copper-Molybdenum Combine” Closed Joint-Stock Company: 52,021 tons,
- “Teghut” Company: 23,159 net metric tons (չմտ),
- “Akhtala Mining and Processing Combine” Closed Joint-Stock Company: 8,415 net metric tons (թմտ).
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- Molybdenum concentrate was produced in 2022 by:
- “Zangezur Copper-Molybdenum Combine” Closed Joint-Stock Company: 7,712 net metric tons (թմտ),
- “Agarak Copper-Molybdenum Combine” Closed Joint-Stock Company: 878 tons,
- “Teghut” Company: 232 net metric tons (չմտ).
- In the domestic market, “Teghut” Company sold 9,901 net metric tons (չմտ) of copper ores and concentrates and 392 net metric tons (չմտ) of molybdenum concentrate, while “Zangezur Copper-Molybdenum Combine” Closed Joint-Stock Company sold 280 net metric tons (թմտ) of molybdenum concentrate.
- In 2022, “Zangezur Copper-Molybdenum Combine” Closed Joint-Stock Company exported 243,367 net metric tons (թմտ) of copper ores and concentrates and 8,041 net metric tons (թմտ) of molybdenum concentrate; “Agarak Copper-Molybdenum Combine” Closed Joint-Stock Company exported 52,189.2 tons of copper ores and concentrates and 894.6 tons of molybdenum concentrate; “Teghut” Company exported 11,744 net metric tons (չմտ) of copper ores and concentrates; and “Akhtala Mining and Processing Combine” Closed Joint-Stock Company exported 8,325 net metric tons (թմտ) of copper ores and concentrates.
- In 2023, copper ores and concentrates were produced by:
- “Zangezur Copper-Molybdenum Combine” Closed Joint-Stock Company: 201,332 net metric tons (թմտ),
- “Agarak Copper-Molybdenum Combine” Closed Joint-Stock Company: 51,892 tons,
- “Teghut” Company: 50,933 net metric tons (չմտ),
- “Akhtala Mining and Processing Combine” Closed Joint-Stock Company: 9,150 net metric tons (թմտ).
- Molybdenum concentrate was produced in 2023 by:
- “Zangezur Copper-Molybdenum Combine” Closed Joint-Stock Company: 10,550 net metric tons (թմտ),
- “Agarak Copper-Molybdenum Combine” Closed Joint-Stock Company: 1,269 tons,
- “Teghut” Company: 179 net metric tons (չմտ).
- In the domestic market, “Teghut” Company sold 15,779 net metric tons (չմտ) of copper ores and concentrates and 146 net metric tons (չմտ) of molybdenum concentrate; “Zangezur Copper-Molybdenum Combine” Closed Joint-Stock Company sold 1,380 net metric tons (թմտ) of molybdenum concentrate; and “Agarak Copper-Molybdenum Combine” Closed Joint-Stock Company sold 711.1 tons of molybdenum concentrate.
- In 2023, “Zangezur Copper-Molybdenum Combine” Closed Joint-Stock Company exported 203,367 net metric tons (թմտ) of copper ores and concentrates and 8,042 net metric tons (թմտ) of molybdenum concentrate; “Agarak Copper-Molybdenum Combine” Closed Joint-Stock Company exported 50,968.1 tons of copper ores and concentrates; “Teghut” Company exported 38,617 net metric tons (չմտ) of copper ores and concentrates; and “Akhtala Mining and Processing Combine” Closed Joint-Stock Company exported 9,150 net metric tons (թմտ) of copper ores and concentrates.
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According to the information submitted to the Commission by “Teghut” Company, during 2025, the volume of copper ores and concentrates produced by “Teghut” Company amounted to █[REDACTED]█ net metric tons (չմտ), and the volume of molybdenum concentrate was █[REDACTED]█ net metric tons (չմտ).
3. As a result of a comprehensive, complete, and objective discussion of the case, the Commission considers the following factual circumstances established:
- “Kuprar RA” Company was founded on February 6, 2026, and is █[REDACTED]█.
- The █[REDACTED]█ percentage share of the charter capital of “Kuprar RA” Company belongs to “█[REDACTED]█” Company.
- The “█[REDACTED]█” Company (█[REDACTED]█) was founded on August 14, 2025, and carries out █[REDACTED]█.
- The █[REDACTED]█ percentage share of the charter capital of “█[REDACTED]█” Company belongs to a physical person: █[REDACTED]█.
- The value of the assets of “█[REDACTED]█” Company for the financial year 2025 amounted to █[REDACTED]█.
- █[REDACTED]█.
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- █[REDACTED]█.
- The value of the assets of “Kuprar RA” Company as of the date of submitting the declaration amounted to █[REDACTED]█ AMD, and the amount of revenue was █[REDACTED]█ AMD.
- █[REDACTED]█.
- █[REDACTED]█.
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- “Teghut” Company was registered on May 22, 2006, and carries out the production and sale of copper ore and concentrates, and molybdenum concentrate.
- The █[REDACTED]█ percentage share of the charter capital of “Teghut” Company belongs to █[REDACTED]█.
- The assets of “Teghut” Company as of the end of 2025 amounted to 97,366,219,000 AMD, and the amount of revenue was 63,355,054,000 AMD.
- The volume of copper ores and concentrates produced by “Teghut” Company during 2025 amounted to █[REDACTED]█ net metric tons (չմտ), and the volume of molybdenum concentrate was █[REDACTED]█ net metric tons (չմտ).
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- █[REDACTED]█.
- █[REDACTED]█.
- █[REDACTED]█.
4. As a result of the study and analysis of the factual circumstances of the proceeding and the relevant legal norms, the Commission concludes the following:
According to Part 1, Point 4 of Article 13 of the Law “On the Protection of Economic Competition” (hereinafter also referred to as the Law), the concentration of economic entities is considered to be the acquisition by an economic entity of a share in another economic entity registered in the Republic of Armenia, if this in itself constitutes at least 20 percent of the charter (pooled) capital of that economic entity, or if together with the share already owned by the acquirer, it constitutes at least 20 percent of the charter (pooled) capital of that economic entity.
According to Part 5 of Article 13 of the Law, in the case of the acquisition of a share, the participants in the concentration are the economic entity acquiring the share and the economic entity in whose charter (pooled) capital the share is being acquired.
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According to Part 8 of Article 13 of the Law, a concentration within the meaning of the Law is deemed to occur in:
- the same product market (horizontal concentration),
- different product markets with a certain interrelationship (vertical concentration), and
- different product markets (mixed concentration).
According to Point 2 of Part 1 of Article 15 of the Law, the concentration of economic entities is subject to notification prior to being put into effect if the total amount of revenue of the participants in the concentration, or the amount of revenue of at least one of the participants, in the last financial year preceding the submission of the concentration notification, exceeds the amount of revenue established by the decision of the Commission.
According to the Commission’s Decision No. 553-N of August 15, 2025 “On defining the sizes of assets and revenues of participants of concentrations subject to declaration, the procedure for declaration of concentration, and the form of declaration, and declaring void the Decision No. 322-N of November 9, 2021 of the Commission for the Protection of Competition” (hereinafter also referred to as Decision No. 553-N), Appendix 1 sets out the thresholds for assets and revenues of participants in concentrations subject to declaration. Specifically, according to Point 1, Sub-point 1 of Appendix 1 of Decision No. 553-N, the concentration of economic entities is subject to declaration prior to being put into effect if the total value of the assets of the participants in the concentration at the time of submitting the concentration declaration or in the preceding financial year exceeded four billion drams, or the value of the assets of at least one of the participants at the time of submitting the concentration declaration or in the preceding financial year exceeded three billion drams.
According to Part 1 of Article 70 of the Law, the Commission prohibits a concentration subject to declaration if:
- according to the results of the Commission’s studies, as a result of the concentration, economic competition in the relevant product market will be prevented, restricted, prohibited, or otherwise worsened, or
- according to the results of the Commission’s studies, the concentration will lead to the emergence or strengthening of a dominant position, or
- according to the results of the Commission’s studies, consumer interests will be harmed as a result of the concentration, or
- the participant in the concentration does not submit information considered essential by the Commission to assess the impact of the concentration in the relevant product market, and
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it is impossible to obtain such information from other sources, or
5) the participant in the concentration has submitted false information considered essential by the Commission for assessing the impact of the concentration in the relevant product market, which negatively affected the course and results of the study conducted by the Commission.
According to Part 1 of Article 71 of the Law, a mixed concentration and a concentration of economic entities included in a group of persons is permitted under a simplified procedure if there is an apparent absence of grounds for prohibiting the concentration.
According to Part 1 of Article 72 of the Law, in the absence of grounds for prohibiting the concentration, the Commission permits the concentration subject to declaration.
From the facts of this case, it follows that “Kuprar RA” Company was founded on February 6, 2026, and is █[REDACTED]█. The █[REDACTED]█ percentage share in the charter capital of “Kuprar RA” Company belongs to “█[REDACTED]█” Company. “█[REDACTED]█” Company (█[REDACTED]█) was founded on August 14, 2025, and carries out █[REDACTED]█. The █[REDACTED]█ percentage share of the charter capital of “█[REDACTED]█” Company belongs to a physical person: █[REDACTED]█. The companies interconnected with the physical person █[REDACTED]█ operate in █[REDACTED]█.
The “Teghut” Company carries out the production and sale of copper ore and concentrates, and molybdenum concentrate, and the █[REDACTED]█ percentage share of the charter capital belongs to “█[REDACTED]█” Company (█[REDACTED]█). The copper ore and concentrates during 2025 were exported to █[REDACTED]█.
█[REDACTED]█.
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Taking into account the above, the transaction of acquiring a █[REDACTED]█ percentage share of the charter capital of the “Teghut” Company by the “Kuprar RA” Company constitutes, within the meaning of the Law, a mixed concentration, which will not lead to the prevention, restriction, prohibition, or other deterioration of economic competition, nor to the harm of consumer interests, under which conditions the grounds for prohibiting the concentration are absent.
Taking into account the above, the Commission concludes that the concentration through the acquisition of a █[REDACTED]█ percentage share of the charter capital of the “Teghut” Company by the “Kuprar RA” Company is subject to permission.
5. Final part.
Based on the above and governed by Part 2 of Article 67, Part 1 of Article 69, Part 2 of Article 72, Part 1 of Article 101 of the Law, Articles 70 and 71 of the Law “On the Fundamentals of Administration and Administrative Proceedings,” as well as Point 1 of Part 1 of Article 72 of the Administrative Procedure Code of the Republic of Armenia, the Commission
DECIDED:
- To permit the concentration of “Kuprar RA” Closed Joint-Stock Company and “Teghut” Closed Joint-Stock Company through the acquisition by “Kuprar RA” Closed Joint-Stock Company of a █[REDACTED]█ percentage share of the charter capital of “Teghut” Closed Joint-Stock Company.
- This decision enters into force for each addressee in its respective part from the day following the delivery of its copy to “Kuprar RA” Closed Joint-Stock Company and “Teghut” Closed Joint-Stock Company, respectively.
- Point 1 of this decision is valid for a period of one year.
- This decision may be appealed through administrative or judicial channels within a two-month period from the moment of its entry into force.
- An appeal against this decision does not suspend its operation (execution).
TEMPORARY ACTING CHAIRMAN
T. MARKOSYAN
7 July 2026
Yerevan
__________________________________________
Today we reviewed the competition authority’s decision. Next week, we will focus on the financial settlement — and when it actually happened. Almost no one noticed.