The documents of the newly established Company were signed by Mr Marcin Kubica (President of the Management Board of Lubawa S.A.) and Mr Murad Isakhanyan (President of the Charentsavan Machine-Tool Factory and the Director of the Defence Industry Department at the Ministry of Defence of the Republic of Armenia). Lubawa S.A. will take-up 51% shares in LUBAWA Armenia S.A., while the remaining 49% shares will be held by “Charentsavan Machine-Tool Factory” OJSC, a company controlled by the Ministry of Defence of the Republic of Armenia. The position of the CEO of Armenia Lubawa S.A. will be taken by Mr Jarosław Ruch who has many years of business experience.

- We decided to set up Lubawa Armenia, because we see the potential of the Armenian market and the chance to diversify our sources of revenue. Establishing cooperation with the Government of Armenia is an opportunity for an effective implementation of a subsequent project to sell our products outside the Polish borders. At this time we are involved in several tenders in Poland and abroad, our products are gaining recognition on many continents, and we will keep you informed about the implementation of individual projects – says Marcin Kubica, President of the Management Board of Lubawa S.A.

Lubawa Armenia will produce in the first place multispectral camouflage and optical nets (87% of turnover), armament decoys – such as of the T-72 tank (10% of turnover) and tents (3% of turnover). The products will be delivered to the army and other uniformed services of the Republic of Armenia. Gradually, the Company intends to introduce other products to its offer such as bulletproof vests and ballistic plates which will have a positive impact on increasing revenues.

- There is still some work related to the commencement of production and sales of finished products ahead of us. At this time we are waiting for the decision of the Polish Ministry of Economy on issuing a permit for the transfer of technology to Lubawa Armenia. After obtaining the required approvals, we will sign with our partner of Armenia an investment agreement in which the next step is to be signing a five year contract for the supply of equipment – adds Marcin Kubica.

In the opinion of the Management Board of Lubawa S.A., the first delivery of finished products to the Ministry of Defence of the Republic of Armenia will take place no later than in Q4 2013.