Gihoc Distilleries to clear over GH¢427 million legacy debt as part of its transformation agenda
The Chief Executive Officer of GIHOC Distilleries Limited, Jones Borteye Applerh, has committed to clearing the company’s over GH¢427 million legacy debt as part of a sweeping industrial recovery and transformation agenda.
Addressing journalists during a media tour of the company’s factory on July 24, 2025, Borteye Applerh said GIHOC is undergoing a reset that will be anchored on discipline, efficiency, and delivery.
“This is not just a change in management. This is a call to integrity, discipline, and above all, delivery. GIHOC must rise again,” he declared.
He revealed that the company is currently operating at less than 40 per cent efficiency, with some of its equipment dating as far back as 1964.
He described the financial situation as dire, with debts exceeding GH¢427 million, including unpaid taxes to the Ghana Revenue Authority (GRA), pension arrears, loans, and obligations to suppliers, MASLOC, and other creditors.
He noted that the lack of raw materials had stalled production for months, resulting in the near disappearance of GIHOC’s flagship brands from the market.
“Let me be frank, GIHOC is facing its own challenges just like other SOEs, but they are not insurmountable.”
In just under three months of assuming office, the new CEO says the tide has begun to turn. GIHOC has procured 2.6 million bottles and reversed the “no bottle return” scheme introduced by his predecessor.
The company has also resolved its ethanol supply crisis, thanks to what he described as “the kind benevolence of a traditional ethanol supplier of GIHOC,” and repaired ageing equipment — including machines that had been idle for years.
He further highlighted internal reforms, noting that “internal controls have been tightened, we are plugging every leak.”
Production has also resumed in full force. The sachet line, G Tot, is currently operational 24/7, positioning the company as a prime player in the government’s 24-hour economy initiative.
“We are poised for the charge given by H.E. the President under Ghana’s 24-hour economy Policy. As you all acknowledge, GIHOC is an easy candidate.”
Looking ahead, Applerh outlined a three-horizon strategy. In the short term, the company will stabilise operations through complete audits, strict cost controls, and renegotiation of debts with GRA, SSNIT, MASLOC, and other creditors.
The medium-term plan focuses on growth through rebranding of key products such as Takai, Sorento Wine, and Chevalier, reactivation of exports across ECOWAS, and revamping of the Kumasi bottling water plant.
SP/MA
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