Terabank sale: Armenian businessman, Georgian bank and possible Russian link
Armenian businessman Karen Safaryan’s Arins Group is buying Georgia’s Terabank and the Biltmore hotel in Tbilisi. The deal will bring one of Armenia’s largest financial groups into Georgia, while the UAE-based Dabi Group will leave the country. Local media have also reported possible links between the deal and Russia.
The value of the deal has not been disclosed. Arins Group must first obtain approval from the National Bank of Georgia to acquire Terabank.
Much of the information in this article comes from a report by Radio Free Europe/Radio Liberty.
Details of the deal
Terabank’s shareholder and Luxembourg-registered AGE S.A. have signed an agreement on the acquisition of shares in the bank. AGE S.A. is part of the financial ecosystem of Armenia’s Arins Group.
Terabank’s official statement did not mention the Biltmore hotel. AGE S.A. later confirmed that the deal also includes the hotel.
The company sees the acquisition as part of its international expansion strategy.
“Georgia was selected as a priority market for regional expansion, taking into account the country’s economic growth, balanced macroeconomic policy and strong supervisory framework in the financial sector,” Terabank said in a statement.
According to AGE S.A., the investor plans to increase financing for small and medium-sized businesses in Georgia. The group also plans to expand corporate and retail banking services.
Who is Karen Safaryan?
Armenian businessman Karen Safaryan is the sole shareholder of Arins Group. The group owns about 99% of Ardshinbank, Armenia’s largest bank by assets. Its share of the country’s banking system assets stands at about 21%. The bank holds ratings from S&P Global, Moody’s and Fitch and works with the European Bank for Reconstruction and Development and the European Investment Bank’s specialised unit.
Karen Safaryan was born in Baku in 1963. He moved to Armenia in the late 1980s and later went into business in Russia. According to Ardshinbank, he owned dozens of companies in Russia and Armenia in the early 2000s. His business interests covered banking, construction and industry.
According to his official biography, Safaryan ended his construction and industrial activities in Russia in 2008. Since 2019, his business interests have been focused exclusively on Armenia’s financial sector.
Safaryan also owns the insurance company Armenia Insurance and several investment funds.
Who stands to benefit?
Reports of a possible “Russian link” to the Terabank deal first appeared on the Russian Telegram channel Boilernaya. It claimed that the acquisition could serve the interests of Russian payment company A7 and Ilan Shor.
The channel provided no evidence to support the claim. Neither Terabank, Arins Group nor the National Bank of Georgia has confirmed any connection with A7.
A7 is a Russian international payments platform that helps Russian businesses make payments abroad. Available information links the company to Moldovan pro-Russian businessman Ilan Shor.
In 2025, the European Union added A7 to its sanctions list. The EU Council said the company had numerous links to Moscow and linked it to attempts to influence elections and an EU membership referendum in Moldova.
The UK has also imposed sanctions on A7. British authorities said networks linked to the company could be used to make international payments in an attempt to circumvent sanctions.
What does Vano Chkharishvili have to do with it?
The Telegram channel Boilernaya also claimed that businessman Vano Chkharishvili, who is close to the ruling Georgian Dream party, had lobbied for the deal. The channel also referred to his alleged personal ties to National Bank of Georgia President Natia Turnava.
Georgian television channel Pirveli reported the same information on 24 August, saying it had obtained a pre-prepared press release about the sale of Terabank.
Vano Chkharishvili denies any involvement in the deal. He says he played no role in the sale of either the bank or the hotel.
The deal has not yet been completed
On 24 August, the National Bank of Georgia said it had been informed of Ardshinbank’s interest. However, the company had not formally approached the regulator at that point.
Georgian law requires the National Bank’s approval for the sale of a significant stake in a commercial bank. Therefore, despite the signed agreement, the change of ownership at Terabank cannot yet be considered complete.
The National Bank must examine the investor’s financial position, ownership structure and the source of the funds. It will make a decision after completing the review.
The sale of the Biltmore hotel is also subject to the completion of the relevant legal procedures.
What exactly is Arins Group buying?
Terabank has operated in Georgia since 1999. It has used several names over the years and adopted the name Terabank in 2016.
The bank ranks sixth in Georgia by assets. In July 2026, its assets stood at 2.27 billion lari ($835 million).
Sheikh Nahayyan Mubarak Al Nahyan of the United Arab Emirates owns 80% of the bank. Another 15% belongs to Sheikh Mohamed Butti Al Hamed. The remaining 5% is owned by Russian company Investment Trading Group LLC.
Sheikh Nahayyan’s investments also financed the construction of The Biltmore Tbilisi hotel. According to opposition politician Roman Gotsiridze, the construction and fitting-out of the hotel cost $140 million.
By selling both assets, UAE-based Dabi Group is leaving the Georgian market. Roman Gotsiridze attributes the decision to Georgia’s investment climate. However, the company itself has not publicly explained why it decided to leave.
Terabank sale and possible Russian link
