Kasapreko Plc, a leading indigenous company in Ghana, has made waves in the financial market with the successful listing of its GHS 600 million note on the Fixed Income Market of the Ghana Stock Exchange (GSE).
The listing of Kasapreko Plc’s GHS 600 million note on the Ghana Stock Exchange (GSE) Fixed Income Market has not only captured the attention of investors but has also been hailed as a significant milestone for the Ghanaian capital market.
The Tranche 1 and Tranche 2 listing, totaling GHS 150 million, has garnered remarkable attention from investors, resulting in a 100% subscription rate.
The notable aspect of this listing is the high level of investor appetite for Kasapreko’s debt issuance, evidenced by the enthusiastic response to the high coupon rate of 26%. This rate, comparable to interest rates on Treasury Bills, has undoubtedly attracted investors seeking favorable returns on their investments.
Ms Abena Amoah, Managing Director of the GSE, emphasized the importance of this listing, highlighting its positive impact on the capital market’s growth and development.
Ms Amoah further expressed her delight at witnessing Kasapreko’s listing, emphasizing its importance in the context of the GSE’s mission to foster business growth and economic relevance. She encouraged other businesses in Ghana to follow Kasapreko’s lead and utilize the GSE market to raise capital and expand their operations.
Richard Adjei, the Managing Director of Kasapreko Plc, expressed his optimism during the listing ceremony, highlighting the significance of this milestone for the company and the broader economic landscape of Ghana.
“As the first manufacturing company to raise a corporate note in Ghana, we are thrilled to embark on this momentous journey of listing our GHS 600 million note and grateful for the confidence the market has shown in Kasapreko.”
Richard Adjei
The Strategic Importance of the Issuance
Adjei further emphasized the strategic importance of this move, emphasizing Kasapreko’s unwavering commitment to sustainable growth and its confidence in Ghana’s vibrant economic ecosystem. He articulated the company’s belief that this bond issuance will serve as a catalyst for accelerating its growth trajectory, solidifying its position as a leader in the beverage industry.
The successful subscription of the Tranche 1 and Tranche 2 listings underscores the market’s confidence in Kasapreko’s financial stability, strategic vision, and potential for future growth. It also highlights the attractiveness of high-yield debt instruments in the current economic climate.
The GHS 600 million issuance by Kasapreko comprises a three-year senior unsecured fixed-rate note, further illustrating the company’s commitment to strategic financial planning and stability. The note, issued, matures on January 29, 2027, providing investors with a clear timeline for returns on their investment.
The listing encompasses two tranches, valued at GHS 150 million, with the first tranche worth GHS 103.7 million and the second tranche worth GHS 47.4 million. Both tranches offer a competitive coupon rate of 26%, payable bi-annually, making them attractive investment opportunities for both institutional and individual investors seeking favorable returns.
Beyond its financial implications, the listing of Kasapreko’s GHS 600 million note reflects the company’s broader commitment to driving economic development, job creation, and value addition within Ghana.
As Kasapreko continues to push the boundaries of innovation and expand its presence both locally and internationally, its dedication to delivering quality and excellence remains unwavering.
Overall, Kasapreko’s GHS 600 million note listing marks a significant milestone not only for the company but also for the Ghanaian financial market, signaling a growing appetite for corporate debt instruments and reaffirming investor confidence in indigenous businesses’ ability to thrive in the global marketplace.
Kasapreko’s GHS 600 million note listing represents not only a significant achievement for the company but also a positive development for the Ghanaian capital market. By leveraging the GSE platform to raise capital, Kasapreko sets a precedent for other businesses to follow, contributing to the overall growth and vibrancy of Ghana’s economy.
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