Adom-Otchere’s claim that SAS made GH¢40-100m in Eurobond issuances ‘false, misleading’ – Management
The management of Strategic African Securities (SAS) – a company founded by Togbe Afede XIV – has denied media reports that the company made an amount of GH¢40-100 million as advisory to a Government of Ghana (GoG) Eurobond issuance in 2014.
In a statement copied to GhanaWeb, the company described the claims made by Paul Adom-Otchere on Good Evening Ghana, Thursday, August 18, 2022, as “false, misleading and was made with malicious intent”.
In explaining their involvement in GoG’s Eurobond issuance in 2014 and 2015, the company in a 5-paragraph point explained that SAS only acted as a co-manager of GoG Eurobond issuances in 2014 and 2015, and as sub-co-manager of the 2019 and 2020 Eurobond issuances.
“SAS was also appointed, through a competitive bidding process, as Joint Book Runner (JBR) of the Adinkra Domestic Bond Issuance Programme from late 2015 to late 2017.
“With regards to the Adinkra Domestic Bond Programme, the mandate of the JBRs expired at the end of 2017. There was an invitation for new tenders thereafter, and SAS submitted a bid but was not selected.
“In respect of the multi-year Eurobond Programme instituted in late 2019, the foreign advisors, on behalf of Government of Ghana, sent an email to SAS in March 2021, with a letter for us to sign to withdraw from the programme. Please find attached the email and the said letter.
“We wish to state that the total fees earned by SAS from these mandates did NOT amount to, but was actually far less than GHS40million, and thus, cannot be presented as falling between “GHS40million to GHS100 million”, as stated by Mr. Paul Adom-Otchere on the Good Evening Ghana Programme,” the company stressed.
Strategic African Securities noted further that, it finds the disingenuous attempt “Mr. Paul Adom-Otchere to draw SAS and its founder, Togbe Afede XIV, into the current debate about the apparent and patent conflict-of-interest in the selection of firms to act as Bond Market Specialists very distasteful.”
What Paul Adom-Otchere said about Strategic African Securities
Paul Adom-Otchere, who is also the board chair of Ghana Airport Company Limited, on Thursday, August 18, 2022, edition of Good Evening Ghana, GEG, was justifying claims that Ken Ofori-Atta, the finance minister was engaged in a conflict-of-interest position.
Ofori-Atta has been attacked by veteran broadcaster, Kwasi Kyei Darkwah, popularly referred to as KKD, for allegedly profiteering from loans that the country contracted from the Eurobond market.
In his analysis, Adom-Otchere cited Togbe Afede XIV and his company, Strategic Africa Securities, SAS, in driving home the point that Ofori-Atta and Databank were involved in legitimate business for which the Ministry of Finance and Bank of Ghana had given them required legal clearance.
“If tomorrow, Togbe Afede becomes Minister of Finance, should we say, you have become Minister of Finance, therefore, SAS can no longer advise the government on Eurobond borrowing and close down the company?
“But that is the reality that we take from the narrative of broadcast legend, Kwasi Kyei Darkwah,” Adom-Otchere noted.
“And if we don’t stop SAS and they do the bond, can I come and sit on TV and say that Togbe Afede is a thief and that as Ghana is borrowing, his company is making money from the borrowing? Can I really say that? Should I be able to say that?” he quizzed.