Cocoa Processing Company (CPC) Limited and Aluworks (ALW) Limited have presented the Ghana Stock Exchange (GSE) with detailed plans of how they intend to recover soon and become viable players on the Accra bourse.
A statement signed by Nana Agyenim Boateng I, acting Managing Director of CPC, said: “Cocoa Processing Company Limited is certainly on the road of recovery and will soon become a viable player on the Ghana Stock Exchange. We have recently launched new Goldentree Chocolate products with improved packaging and formulations. Many of such new products will surely follow in the coming year. We call for investor confidence in the company”
The GSE, per a letter dated 29th August, 2017 notified management of CPC of its suspension of trading in the shares of CPC Limited.
The reasons assigned for such state of affairs were (i) the non-submission of annual report containing the audited annual financial statements for 2015 and 2016 and the financial statement for quarter 3 of 2017 and (ii) failure to conduct annual general meeting since 2015.
According to GSE, such actions constitute a breach of the continuing listing obligations under rules 41 (2) of the GSE listing rules.
The suspension was to 31st December, 2018 with a notice that the company would be delisted if it failed to discharge the above-named obligations.
“We are pleased to announce that CPC Limited has submitted to the Ghana Stock Exchange and the Securities and Exchange Commission its audited financial statements for 2015, 2016 and 2017.
On 27th December, 2018, the company successfully organised an Annual General Meeting (AGM) of its shareholders to present the audited accounts of 2015, 2016 and 2017 which had been outstanding.
CPC, though not making profits, had been reducing its losses steadily.
In 2014, it recorded an operational loss of $12,111,647 and this reduced to $3,903,451 in 2015.
In 2016, the company’s operational losses amounted to $7,026,446 while the loss recorded in 2017 was $5,092,170.
This reduction came about as a result of prudent measures taken by the new management of CPC in order to turn round the fortunes of the company.
In the case of ALW, it said it had provided the Ghana Stock Exchange with detailed plans for the recovery strategy of the company.
As part of its strategy, it mentioned that the Social Security and National Insurance Trust (SSNIT), a key shareholder in ALW, had approved an interim financing package for the company, which is currently being implemented.
“The signing of a subscription agreement for an investment by Caitlyn Limited, an existing shareholder, in ALW shares is imminent. Conclusion is to be advised by the company as soon as possible.”