Armenia and the United States are set to establish a joint-stock company to oversee the implementation of the Trump Route for International Peace and Prosperity (TRIPP), with the American side holding a controlling 74% stake and Armenia retaining 26%.
Under the proposed arrangement, the company, to be registered in Armenia as TRIPP Development Company, will be jointly established by the Armenian government and a US-based entity known as TRIPP Development Company US.
According to details of the proposed structure, the American entity must remain under US government ownership throughout the project's implementation. Its ownership cannot be transferred, and third parties cannot be admitted as shareholders without the required authorisation.
The initial ownership arrangement will remain in effect for 49 years, with the possibility of extending the partnership by mutual agreement.
Should the parties agree to prolong the project beyond the initial term, Armenia's ownership stake would automatically increase from 26% to 49%, while the American share would decline from 74% to 51%.
The adjustment would take place without requiring additional investment or financial contributions from the Armenian government.
Despite holding a minority stake during the initial period, Armenia would retain significant decision-making powers over the company's operations.
Under the proposed governance framework, certain strategic decisions would require the Armenian government's explicit consent regardless of its 26% shareholding.
These include changes to the company's control or ownership structure, as well as any sale, transfer, donation or other disposal of shares.
Consequently, the American shareholder would not be permitted to transfer even 1% of its stake to another individual, company or foreign government without Armenia's approval.
Armenia's consent would also be mandatory for major financial transactions and contractual agreements, the approval of concession arrangements and the establishment of subsidiaries or special-purpose entities.
Additional matters involving national security or politically sensitive decisions would similarly be subject to Armenian approval.
The proposed governance structure is intended to provide Armenia with a formal role in strategic decision-making despite the American side's majority ownership.
The 74% American stake, however, exceeds two-thirds of the company's shares. The extent of Armenia's blocking rights would therefore depend on the specific voting thresholds and reserved matters established in the company's governing documents.
The TRIPP initiative is intended to develop transport and connectivity infrastructure linking mainland Azerbaijan with its Nakhchivan exclave through Armenian territory, while facilitating broader regional transit connections.
The proposed company would serve as the institutional framework for implementing the project, with its ownership and decision-making arrangements defining the responsibilities of the Armenian and American participants.