Ghanaian mogul Kwabena Adjei’s Kasapreko cuts debt to $52 million as cash reserves climb

Kasapreko Plc, the drinks producer founded by Ghanaian businessman Kwabena Adjei, reduced its total borrowings to $52 million in 2025 as rising cash reserves strengthened its balance sheet while it continued funding large-scale expansion projects. 

According to its audited financial statements, the Accra-based company lowered total debt to GH¢606.2 million ($52.2 million), down from GH¢748.4 million ($64.4 million) a year earlier, reflecting a balancing act between expansion spending and tighter financial discipline in a high-interest-rate environment.

Liquidity strengthens amid expansion push

Cash and bank balances rose sharply to GH¢243 million ($20.9 million) at the end of December 2025 from GH¢162.9 million ($14.0 million) in 2024, with net cash and cash equivalents reaching GH¢172.7 million ($14.9 million) after accounting for overdrafts.

The improved liquidity position comes as Kasapreko continues to invest in manufacturing capacity, including its alcohol rectification plant at Tema Harbour and additional beverage production lines aimed at supporting long-term growth in Ghana’s consumer goods market.

Borrowings decline as repayments rise

Total loans and bonds fell by more than GH¢133 million ($11.5 million) year-on-year to GH¢535.9 million ($46.1 million), while bank overdrafts declined to GH¢70.3 million ($6.1 million) from GH¢78.9 million ($6.8 million).

Kasapreko repaid GH¢339.5 million ($29.2 million) in principal obligations during the year, helping reduce leverage despite incurring GH¢153.9 million ($13.3 million) in interest expenses.

Term loans dropped significantly to GH¢183.6 million ($15.8 million) from GH¢317.1 million ($27.3 million) following repayments across multiple facilities from lenders including Ecobank Ghana Plc, Société Générale Ghana Plc, First Bank Ghana Ltd, Landesbank Baden-Wuerttemberg, and KBC Bank NV.

Bonds remain key funding source as expansion drive financing

The company maintained GH¢352.3 million ($30.3 million) in corporate bonds listed on the Ghana Stock Exchange’s fixed income market, with coupon rates ranging from 23.5% to 26% and maturities between 2027 and 2028. Interest on the bonds is payable semi-annually, underscoring the relatively high cost of local currency financing in Ghana’s current macroeconomic environment.

Kasapreko continued to draw financing for major industrial projects during the year. A facility from Ecobank supported the construction of its Tema Harbour alcohol processing plant, while additional funding was used for working capital and production expansion. The company also secured export credit facilities from Belgium-based KBC Bank NV and Germany’s Landesbank Baden-Wuerttemberg to finance imported industrial equipment, including bottling lines and alcohol processing machinery.

Managing debt in a high-rate environment as obligations eased

Kasapreko’s improving liquidity and declining debt profile highlight how large West African manufacturers are navigating elevated borrowing costs while maintaining capital expenditure.

With some bond instruments carrying coupons above 23%, managing financing costs remains critical for companies operating in Ghana’s high-interest-rate environment.

Loans due to related parties declined to GH¢33.2 million ($2.9 million) from GH¢40.7 million ($3.5 million) a year earlier, following repayments totaling GH¢12.5 million ($1.1 million). The balance includes short-term facilities linked to Pinnacle Holding Ltd and director-related advances.

Recent performance

In the first three months of 2026, Kasapreko, a major Ghanaian beverage manufacturing company producing a wide range of alcoholic and non-alcoholic drinks, saw its revenue rise from GH¢821.94 million ($70.8 million) to GH¢853.16 million ($73.5 million), while profit increased from GH¢47.2 million ($4.1 million) to GH¢73.03 million ($6.3 million).

Total assets climbed from GH¢1.77 billion ($152.6 million) to GH¢2.13 billion ($183.4 million), reflecting strong balance sheet expansion. Retained earnings more than doubled, rising from GH¢343.43 million ($29.6 million) to GH¢723.47 million ($62.3 million).

Kasapreko’s stronger cash position and reduced leverage provide room to continue executing its expansion strategy, though future performance will depend on consumer demand, exchange-rate stability, and borrowing costs. The company’s ability to ramp up new production infrastructure, particularly its Tema Harbour facility, will be key to sustaining growth in Ghana’s competitive beverage market.