The Board of Accra Hearts of Oak has bemoaned the depreciation of the Ghana Cedi has impacted the club’s plan for a right issue of shares over the last one year.
In the board chairman’s statement to shareholders of the club at the 6th annual General Meeting held in Accra, the board said it has revised the original proposed amount of GH₵60 million .
“To strengthen the finances of the club so that it can pursue its mission, the board announced some time ago, plans for a rights issue of shares to raise additional capital. I am happy to announce that preparations are far advanced for the rights issue to be done. At the last AGM, the board sought your approval to increase the size of the rights issue from GH₵60 million originally proposed, to GH₵160 million. We will be asking you to support our plans to increase the size of the rights issue further to GH₵200 million, and to authorize us to raise up to an additional GH₵100 million should there be an over-subscription.”
The board Maintained that several factors including depreciation of the cedi, and the need to raise enough money for the second phase of the Academy project were the cause of the decision to revise the right to issue arrangement
“This revision is necessary because of the depreciation of the cedi, the increase in our debts and the need to raise money for the second phase of the academy project. The shares involved will be available initially to Accra Hearts of Oak S/C 2022/23 Annual Report Page12 current shareholders. But shares not taken up will be available for subscription by new shareholders. A successful rights issue will make our future brighter”. the board said.
