David Harlock addressing shareholders at the Annual General Meeting
Shareholders of Guinness Ghana Breweries Limited (GGBL) have approved a GH¢180 million rights issue to generate additional funds to return the company to optimal capital structure.
This is expected to reduce the company’s interest burden and provide GGBL with the financial flexibility to invest in future value and create opportunities to return the company to a position where it can pay dividends.
The approval was given at the company’s 43rd AGM held at the Golden Tulip Hotel in Kumasi to update shareholder on the business’ financial performance for the year ended 30th June 2015.
The chairman of the Board, David Harlock outlined a number of challenges faced by the business and wider industry during the period under review.
These included erratic supply of utilities, weakening of the Ghanaian economy characterised by increased rate of inflation and the fluctuation of the cedi against major international currencies.
He however said the Board and executive management were confident of the future prospects of the business.
Mr Harlock said, “Our ambition remains being one of the best performing, most trusted and respected consumer products companies in the world.
“We continue to pursue this ambition aggressively such as; strengthening and accelerating our premium core brands, winning in reserve, innovating at scale to meet new consumer needs, route to consumer, driving out costs to invest in growth and guaranteeing plans with the right people and capabilities.”
A Business Desk report