"It Is A Cash Cow": Okudzeto Ablakwa Reveals Labadi Beach Hotel More Profitable Than Expected

"It Is A Cash Cow": Okudzeto Ablakwa Reveals Labadi Beach Hotel More Profitable Than Expected

  • The North Tongu MP, Samuel Okudzeto Ablakwa, says the sale of the Labadi Beach Hotel and three others should be stopped
  • He said financial statements from the Labadi Beach Hotel reveal it is more profitable than ever and can sustain the operations of the other SSNIT hotels
  • He said should the government fail to halt the deal he will hit the street in protest

The North Tongu Member of Parliament, Samuel Okudzeto Ablakwa, has urged government to shutdown the sale of four SSNIT hotels to Bryan Acheampong’s RockCity Hotel.

Okudzeto Ablakwa revealed that he has secured the annual financial statements of the Labadi Beach Hotel and has discovered that the hotel is not in dire financial straits as earlier suggested by SSNIT.

Okudzeto Ablakwa Reveals Labadi Beach Hotel More Profitable Than Expected
Okudzeto Ablakwa says he will continue to protest the sale of the SSNIT Hotels. Sources: Okudzeto Ablakwa (X
Source: Facebook

He noted that the Labadi Beach Hotel generates enough revenue to sustain both its operations and that of the other hotels being listed for sale to RockCity Hotel.

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He said it is therefore unnecessary and rather erroneous to sell such a cash cow to a private individual.

Labadi Beach Hotel has better financial standing

He said the Labadi Beach Hotel certainly has a better financial standing than the RockCity Hotel which is expected to acquire about 60% of the former’s shares.

He stated that the 2023 financial statement of Labadi Beach Hotel revealed that it had cash reserves in five bank accounts amounting to GH₵54,855,795.00.

In the hotel’s 2023 management account, it had a turnover of GH₵188,076,649.00.

He further added that the hotel doubled its gross profit in 2023 to GH₵158,490,448.00.

Okudzeto Ablakwa also revealed that in the last five years the Labadi Beach Hotel has paid GH₵20,318,232 in taxes to government in addition to dividends.

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He noted that claims that the hotel is fiscally struggling and needs capital injection is therefore false and should be disregarded.

He said the sale of the hotels would not be in the best interest of Ghanaians and should be aborted.

He also suggested that the all-Ghanaian management of Labadi Beach Hotel should be asked to manage all of SSNIT’s hotels.

Ablakwa to embark on demonstration against sale of hotels

YEN.com.gh has revealed that Samuel Okudzeto Ablakwa says if the government does not abort the deal, he will lead a protest against the sale on June 18, 2024.

Sixty per cent of shares in six SSNIT hotels are being sold to RockCity Hotel Limited, owned by the Minister for Agriculture, Bryan Acheampong.

He said he had notified the Ghana Police Service of his planned demonstration scheduled for June 18, 2024.

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The demonstration will begin at 9 a.m. in front of the Labadi Beach Hotel and proceed through the La Palm Royal Beach Hotel to the Ministries and the Jubilee House, where a petition demanding the sale ceases will be presented to President Akufo-Addo.

Proofread by Berlinda Entsie, journalist and copy editor at YEN.com.gh

Source: YEN.com.gh

Authors:
Cornerlis Affre avatar

Cornerlis Affre (CA and Politics Editor) Cornerlis Kweku Affre is at present a Current Affairs Editor at Yen.com. He covers politics, business, and other current affairs. He has worked in various roles in the media space for at least 5 years. You can reach out to him at cornerlis.affre@yen.com.gh

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