The Social Security and National Insurance Trust, SSNIT has responded to the reports about the plans to sell 4 of its hotels to Rock City Hotels, owned by Bryan Acheampong. According to the custodian of national pension funds, due process was followed in selecting Rock City Hotels.
SSNIT explained that the process to sell off 60% of the four hotels began in 2018 when it began the search for transaction advisor using the International Competitive Tendering (ICT).
In a statement it said the “Trust commenced the process with the engagement of a Transaction Advisor through the ICT method of procurement, with publication of advertisements in the Daily Graphic on 14th November, 2018 and in the Ghanaian Times on 15th November, 2018. The advertisement was also published in an international magazine, The Economist in its January 5-11, 2019 edition.”
Having selected a transaction advisor, SSNIT said it announced for bids for the hotels in 2022 and received nine responses but shortlisted six of them to proceed to the next stage.
“Following the selection of the independent Transaction Advisor to guide the selection of a Strategic investor amongst others, further advertisements for an Expression of Interest (EOI) for a Strategic Partner for the SSNIT Hotels were placed in the Daily Graphic on 3rd February, 2022 and in the Ghanaian Times on 7th February, 2022. The advertisement was also published in The Economist Magazine on 26th February, 2022.”
According to SSNIT, Rock City Hotel emerged the best from the six with the “strongest technical and financial proposal.” As a result, SSNIT decided to go with Bryan Acheampong’s Rock City Hotel as the strategic partner. Negotiations are currently ongoing to sell off 60% stake in each of the four hotels involved in the deal.
“Based on the criteria set out in the RFP, Rock City Hotel submitted the best and strongest technical and financial proposal amongst those received. Consequently, it is in negotiation with SSNIT to buy a 60% stake in each of the four (4) hotels (Labadi Beach Hotel, La Palm Royal Beach Resort, Ridge Royal Hotel and Elmina Beach Resort). Bids for Busua Beach Resort and the Trust Lodge were considered to be unsuccessful so they are no longer part of the hotels covered in this process.”