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Consolidated Bank Ghana raises GH¢150 million for Kasapreko on Ghana Stock Exchange

February 20, 2024
Consolidated Bank Ghana raises GH¢150 million for Kasapreko on Ghana Stock Exchange
Kasapreko factory

The Consolidated Bank Ghana () has successfully raised GHS150 million on the to support Kasapreko Company Limited, an indigenous beverage manufacturer. This amount marks the first tranche of a GHS600 million facility intended to bolster Kasapreko's working capital, finance capital expenditure, including expansion of operations, and refinance short-term debts.

The debt instrument, raised from the stock market, carries a lending rate of 26%, a significant reduction compared to the Ghana Reference Rate of about 34%, with a fixed rate for the three-year period. Mr. Daniel Addo, Managing Director of CBG, emphasized the importance of indigenous companies overcoming financing challenges through innovative means for mutual benefit and national development.

Speaking at a joint press briefing in , Mr Addo highlighted the significance of addressing risks inherent in SMEs and encouraged and industry players to adopt bold strategies in managing these risks while supporting local businesses for growth.

Mr Richard Adjei, Managing Director of Kasapreko, expressed gratitude for the innovative financing scheme facilitated by CBG and the Ghana Stock Exchange. He described the funding as a relatively cheaper, patient capital and sustainable source for business growth, enabling Kasapreko to expand its production capacity and enhance its trade under the ().

Mr Adjei further highlighted Kasapreko's commitment to corporate social responsibility, including substantial donations to support healthcare and education initiatives. He also emphasized the company's efforts to reduce environmental impact through initiatives such as recycling, solar power utilization, and exploring renewable energy sources like biomass and steam.

The partnership between CBG and Kasapreko signifies a collaborative effort towards fostering economic growth and sustainability within Ghana's business landscape.

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