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GOIL to raise GHS155M to complete expansion projects

Ghana Oil Company Limited (GOIL), has announced it is raising additional capital of GHS155 million through a renounceable Rights Issue and the associated costs.

Announcing this at a shareholders’ forum in Accra, GOIL explained the proceeds from the offer will be used to strengthen the company’s balance sheets, expand current retail outlets, acquire a bitumen plant as well as expand facilities at the Takoradi Harbour.

The Managing Director of GOIL, Patrick A. K. Akorli, told the media in Accra the company would want to position itself as a stronger energy giant that will contribute immensely to the development of the local economy.

He explained that the company needed equity capital injection to finance major ongoing projects and assured that the interest of local shareholders will be protected always.

GOIL intends to issue approximately 139,639,640 shares at a price of GHS1.24 per share and in a ratio of 0.5536 new shares for every one held by a qualifying shareholder.

The upcoming rights issue, which will commence on the 3rd of May, 2016 and ends on the 18th of May, 2016 has been fully underwritten by Belstar Capital Limited under the bought deal model.

Under this offer, all qualifying shareholders, that is shareholders whose names appear in the share register by the book closure date, will receive a copy of the offer circular and a letter of entitlement.

The forum afforded all shareholders the opportunity to ask questions concerning the Rights Issue.

In attendance at the forum were board members of GOIL including the chairman, Professor William Asomaning, and the management team of the company.

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