Mon. Jul 22nd, 2024

“It’s a cash cow”: Okudzeto Ablakwa reveals Labadi Beach Hotel is more profitable than expected

By Vaseline May30,2024
“It’s a cash cow”: Okudzeto Ablakwa reveals Labadi Beach Hotel is more profitable than expected

  • North Tongu MP, Samuel Okudzeto Ablakwa, says the sale of Labadi Beach Hotel and three others should be halted
  • He said financial statements of the Labadi Beach Hotel show that it is more profitable than ever and can support the operations of the other SSNIT hotels.
  • He said if the government fails to stop the deal, he will take to the streets in protest

North Tongu MP, Samuel Okudzeto Ablakwa, has urged the government to halt the sale of four SSNIT hotels to Bryan Acheampong’s RockCity Hotel.

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

Okudzeto Ablakwa reveals that Labadi Beach Hotel is 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 support its operations as well as that of the other hotels for sale to the RockCity Hotel.

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According to him, it is therefore unnecessary and rather wrong to sell such a cash cow to a private individual.

Labadi Beach Hotel has a better financial position

He said Labadi Beach Hotel is certainly in a better financial position than 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 showed that it had cash reserves in five bank accounts worth GH₵54,855,795.00.

According to the hotel’s management accounts for 2023, it had a turnover of GH₵188,076,649.00.

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

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

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He noted that claims that the hotel is struggling financially and needs a capital injection are 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 stopped.

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

Ablakwa will protest against the sale of hotels 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 percent stake in six SSNIT hotels will be sold to RockCity Hotel Limited, owned by Agriculture Minister Bryan Acheampong.

He said he had informed the Ghanaian police of his planned demonstration, scheduled for June 18, 2024.

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


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