Skip to main content

Investors express interest in STC transport


By Fred Sarpong

Over more than 17 investor companies have tendered in applications to take over the defunct Intercity State Transport Company (STC) from the government.
Business Week learnt that the investors, who have applied, were from Ghana and other African countries, Europe, Asia and America.
Sources at the Ministry of Transport told Business Week that some of these investors who have applied to take over STC intend to invest between GH¢70 million and GH¢100 million to revamp the company.
However, Divestiture Implementation Committee (DIC) is expected to give final directive to its employer, the government as to how it should offload STC to the successful investor.
The company (STC) was the leader in the coach transport businesses in the country, until stiff competition from VIP, M-Plaza, Metro Mass Transport and coach transport operators in the country.
The company failed to compete with other operators and this resulted in owing some institutions more than GH¢40 million. The company was owing Prudential Bank of about GH¢7 million. Other creditors include the Agriculture Development Bank, J A Plant Pool and its shareholder, SSNIT.
The Minister of Transport, Alhaji Collins Dauda has said that, government position to sell STC is to make sure the company comes back into operation.
“I can assure you several people have come to my office with proposals to take over and run the company as a result of their plans to back out of the business and so I have no doubt that we would be able to get investors to run the company” he said.

Alhaji Duada adds that government is currently engaging other institutions STC is indebted to address their concerns.

“It’s about indebtedness and so we believe that if we are able to negotiate better we may get ourselves out of this situation. We are therefore working with the Chief of Staff to find a way out and we would in the mean time appeal to our creditors to exercise some restraint and government some decisions on how we want to go forward with these issues. I want to believe we will be able to work out something when we have an investor take over the company” he said.

The Social Security and National Insurance Trust (SSNIT) took the controlling interest in STC in 2002 after a two-year management contract by VANEF consortium was terminated.


Comments

Popular posts from this blog

Deputy AG sues Facebooker over 'malicious' Ameri deal

The Deputy Attorney-General and Member of Parliament for Bolgatanga East, Mr Dominic Ayine has filed a defamation suit at an Accra High Court against a Facebook commentator, Evron Hughes.
In Mr Ayine’s statement of claim, sighted by Graphic Online, he accused Mr Hughes of defaming him in a post he authored and published on Facebook on December 21, 2015, titled “RE: AMERI TRANSACTION”.
According to the Deputy A-G, the “false and malicious” post has provoked “public disaffection” against him and exposed him to public ridicule and contempt.
Describing Mr Hughes as a “self-styled social media blogger and a social commentator”, Mr Ayine said the Facebook post had brought his hard-won reputation “as a respected politician, teacher and lawyer” into “hatred, ridicule, odium, discredit, contempt, opprobrium and reproach”.
The Deputy A-G said the “defamatory words” were authored with the sole intent to reduce him in the estimation of all right thinking Ghanaians, adding that he had received numerou…

Meet Ghanaian female shoemaker

The Saint Ozwald shoe brand

By: Fred Yaw SARPONG
The Daily Express

From her humble beginning in Sunyani in the Brong Ahafo region, a senior high female graduate from the Twene Amanfo Senior high in the Brong Ahafo Sunyani and a Ghanaian now boasts of being one of the most popular Made-in-Ghana shoe brands and has the most number of celebrity endorsements.
Sandra Ozwald, CEO of Saint Ozwald

After Sandrah Ozwald completed school in 2013, her parent couldn't have enough money to help her continue school so she planned to do something for herself by selling ice cream, groundnut cakes or food. Back at the senior high, Sandra used to make groundnut cakes, condensed toffees and ice cream to support herself since her mother couldn't provide all for her.

With 12 siblings and the only girl child (2nd born) among them, and whiles planning which of these to sell, Sandra attended a friend’s wedding and the grooms shoe looked so attractive to her.

According to her, the groom’s shoes were Ma…