Ghana Bauxite Company Limited confirms that Ofori-Poku Company Limited’s acquisition followed proper due diligence and regulatory standards, refuting recent misleading claims about its valuation and the transaction process. GBCL emphasizes its commitment to transparency, operational excellence, and ethical business practices amidst public speculation.
The Ghana Bauxite Company Limited (GBCL) affirmed that the acquisition of an 80 percent stake by Ofori-Poku Company Limited (OPCL) adhered to all necessary regulations and due diligence processes. GBCL emphasized its commitment to transparency amid recent misleading comments regarding the sale, ensuring the public that ethical practices were followed throughout the transaction.
In a press release issued by its Corporate Affairs Department, GBCL highlighted an incident from 2010 when the Government of Ghana, as a 20 percent shareholder, opted not to purchase the 80 percent shares from Rio Tinto, resulting in the shares being sold to BOSAI Minerals China. The government again refrained from exercising its right of first refusal in 2022, allowing OPCL to legally acquire the stakes on the same terms initially presented to the government.
GBCL addressed claims suggesting a dramatic increase in company valuation from $12.5 million in 2022 to over $1 billion, labeling such statements as misleading. It noted that company valuations are contingent upon various factors, including investments and operational enhancements. OPCL’s strategic investments have notably improved GBCL’s operational efficiency, output, and market presence, affecting its current valuation.
The assertion that an individual involved in the valuation later assumed the CFO role at OPCL was rejected by GBCL. The company maintains a professional management structure where key appointments are based on expertise. Any implications of unethical behavior were dismissed as baseless. Furthermore, GBCL clarified that OPCL is a legally registered entity with a publicly verifiable ownership under Ghanaian law, arguing against suggestions of political financing behind its ownership.
The statement reiterated that the acquisition was a routine commercial transaction, emphasizing the absence of political influence. While it is true that OPCL’s owner was a board member of GBCL at the acquisition time, the company reasoned that such board membership does not equate to insider trading. GBCL asserted that standard corporate practices allowed shareholders, including the government, access to critical financial and operational information.
In conclusion, GBCL remains committed to operational excellence and value creation for all stakeholders while urging the public to reject misleading claims about the company’s growth, attributing it instead to thorough strategic planning, investment, and sound management.
The acquisition of the Ghana Bauxite Company Limited by Ofori-Poku Company Limited was conducted transparently and complied with all regulatory requirements. GBCL refuted misleading claims regarding its valuation and the circumstances surrounding the acquisition. The company remains dedicated to ethical practices, operational excellence, and creating value for stakeholders while encouraging the public to trust in its strategic growth efforts.
Original Source: ghanaiantimes.com.gh
