If ENA had been listed on NASDAQ OMX Armenia it would have escaped critical situations
YEREVAN, October 13. /ARKA/. If Armenia’s national power distribution company- the Electricity Networks of Armenia (ENA) - had been listed on NASDAQ OMX Armenia stock exchange it would have escaped critical situations, Konstantin Saroyan, the director of NASDAQ OMX Armenia stock exchange, said in an exclusive interview with ARKA News Agency.
‘If ENA had been listed on the stock exchange and part of its shares were owned by ordinary shareholders, it would have been easier for it to resolve price rise and management efficiency related problems or they would have not emerged at all,’ he said.
If so, shareholders would have been able to keep watch on the company's activity and look through its financial reports not once a year or when things worsen, as in the current situation, but regularly.
Saroyan explained that the advantage the listing gives to a company is enhancing market players' confidence in this company and making it highly recognizable.
«The listing makes companies transparent and subject to regular checkups by auditing firms, general meetings of shareholders and boards,’ he said.
«And most important is that companies' responsibility before the society is not limited to supplier-client relationship.»
Saroyan said the population, if it had been a shareholder, would have got certain rights for demanding information from the owner.
«In this case, the society would have a right to put forward claims to the company, not as a client, but as a co-owner, and maybe the society, as a shareholder, would accept price rise, while as a client, it had considered that unacceptable,» he said in his interview. ---0----
‘If ENA had been listed on the stock exchange and part of its shares were owned by ordinary shareholders, it would have been easier for it to resolve price rise and management efficiency related problems or they would have not emerged at all,’ he said.
If so, shareholders would have been able to keep watch on the company's activity and look through its financial reports not once a year or when things worsen, as in the current situation, but regularly.
Saroyan explained that the advantage the listing gives to a company is enhancing market players' confidence in this company and making it highly recognizable.
«The listing makes companies transparent and subject to regular checkups by auditing firms, general meetings of shareholders and boards,’ he said.
«And most important is that companies' responsibility before the society is not limited to supplier-client relationship.»
Saroyan said the population, if it had been a shareholder, would have got certain rights for demanding information from the owner.
«In this case, the society would have a right to put forward claims to the company, not as a client, but as a co-owner, and maybe the society, as a shareholder, would accept price rise, while as a client, it had considered that unacceptable,» he said in his interview. ---0----