Anti-Corruption National Initiative
ANTI-CORRUPTIONNATIONALINITIATIVE

Betting on the Son: The Inheritance of the Business and the New Authorities

Ashot Arsenyan has two sons from his legal marriage, Arsen and Vahagn Arsenyan (there have also been reports circulating in the media about a second family). It is through his younger son that, in recent years, both the succession of the family business and the family’s political influence have been ensured. Vahagn Arsenyan has become the most prominent representative of the new generation of the Arsenyan family, both in business and in public policy.

Vahagn Arsenyan is the sole shareholder of “Jermuk Mineral Water Factory” LLC, which is part of “Jermuk Group.”

The first signs of rapprochement between the Arsenyan family and the new authorities emerged not long after the “Velvet Revolution.” Even before the 2018 snap parliamentary elections, during a visit to Vayots Dzor Province, Nikol Pashinyan visited a livestock farm belonging to Vahagn Arsenyan. It concerned “Eco Farm,” engaged in animal husbandry, and “Jerm Farm,” specializing in animal husbandry and crop production (the latter had been separated from the structure of “Jermuk Group”). In 2019–2020, both farms became the property of “Hayr yev Vordi Yeremyanner” (“Father and Son Yeremyans”), a company owned by restaurateur Davit Yeremyan.

After the criminal proceedings related to the circumstances of Vahagn Arsenyan’s exemption from military service were closed, his political career began to develop rapidly.

In 2021, Nikol Pashinyan appointed him head of the Jermuk community and later governor of Vayots Dzor Province.

In 2026, Vahagn Arsenyan was included in the proportional list of the “Civil Contract” party for the National Assembly elections, but later declined the parliamentary mandate, retaining his position as governor of Vayots Dzor Province.

Arsenyan’s Business Empire: Assets and State Privileges

At present, a significant portion of the Arsenyan family’s operating assets is legally registered in the name of Ashot Arsenyan’s son, Vayots Dzor Governor Vahagn Arsenyan. At the same time, according to his latest property declaration, property rights in a number of companies belonging to him have been transferred to Ashot Arsenyan for trust management.

Thus, the formal owner of the corporate rights is Vahagn Arsenyan, while the management of the respective assets is carried out by his father. A similar structure is also applied to other enterprises registered in Vahagn Arsenyan’s name, which complies with the requirements of the legislation for persons holding public office.

Production of Mineral Water and Soft Drinks

According to Vahagn Arsenyan’s latest declaration, he owns 100% of the shares of the main company of the family business, “Jermuk Group” CJSC. To manage the production capacities, “Jermuk Main Factory” LLC, an affiliated entity, is used, whose sole owner is also Vahagn Arsenyan.

The structure of “Jermuk Group” includes the leading medicinal-table mineral water brand “Jermuk,” the natural spring water brand “Byuregh,” as well as the “Pepsi-Cola Bottler Armenia” enterprise. In addition, the company holds exclusive PepsiCo rights to produce, bottle, and distribute Pepsi, Mirinda, and 7UP beverages in Armenia, as well as products released under the Aquafina brand and other soft drinks of the company.

Energy and Business Diversification

In addition to the production of mineral water and soft drinks, the Arsenyan family has also diversified its business into other sectors.

Ashot Arsenyan retains 100% control over “Jermuk Hydrotech” LLC, which operates in the hydropower sector and operates small hydroelectric power plants in Vayots Dzor Province.

Among the family’s relatively new assets is also “Reload” LLC, 30% of whose shares are owned by Vahagn Arsenyan. The company specializes in software development, IT services, and consulting.

Notably, another 30% stake in the company belongs to Georgian businessman Kibar Khalvashi, who resides in Germany. He owns one of Georgia’s largest television companies, “Rustavi-2,” as well as a number of other companies. In addition, Khalvashi is a co-founder of Pepsi in Georgia and is known as one of the most consistent critics of Mikheil Saakashvili’s government.

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