Minister for Aviation Kofi Adda says Ghanaians will maintain majority shares in the setup of the home-based carrier.
A Memorandum of Understanding (MoU) was signed On Tuesday at the ET’s headquarters to signify government’s undertaking to work with ET in establishing a new home-based flag carrier.
Aviation Minister, Joseph Kofi Adda, signed on behalf of the Government of Ghana while Tewolde GebreMariam, Ethiopia’s Chief Executive Officer signed the MoU on behalf of the airline.
Speaking to JoyBusiness Mr Adda says although Ethiopian airlines will manage the home-based carrier, Ghanaians will maintain a majority stake.
He said the government would not take up more than 10 per cent in the yet-to-be-established new national air carrier – emphasising that government is being careful not to repeat mistakes of the past.
The government and Ghanaian investors will have a majority shareholding of 51%, Out of this, the government intends to have only 10% shares and Ghanaian investors will hold 41%.
Ethiopian Airlines and other foreign investors will hold the remaining 49%.
This means if there are no additional foreign partners, Ethiopian Airlines shares could go up to 49%.
Ethiopian Airlines is coming in as a minority shareholder and will be contributing in terms of aircraft and management services.’’Mr Adda further clarified that although they are yet to confirm the exact shares to be held, Ethiopian airlines will have less than fifty per cent shares and this will be finalized in the shareholder’s agreement.
Mr Adda said, “The state will only have ten per cent shares and the rest of the majority shares will go to Ghanaian investors. Ethiopian Airlines is coming in as a minority shareholder and will be contributing in terms of aircraft and management services.’’
Other investors are however still in the line to contribute to the set up of the airline. “Quite a few Ghanaians have expressed interest and we will be calling them back for a meeting next week to look at what proportion they will be contributing,” he added.
Some of the other investors include Air Mauritius, Africa World Airlines, Colt aviation, Goil, Teachers Fund among others.
The home-based carrier is expected to commence operations by first quarter of next year with a minimum of four aircraft and will be doing regional as well as international flights.
Latest Stories
-
Mahama vows to create an agro-processing zone in Afram Plains
1 min -
Political parties should plan for losses, not just wins – IGP advises
3 mins -
524 Diasporan Africans granted Ghanaian citizenship in ceremony
5 mins -
Mahama urges Afram Plains North residents to avoid ‘skirt and blouse’ voting
6 mins -
Asantehene receives more 19th century gold ornament and regalia
14 mins -
Hohoe Ghana Blind Union organises training for members ahead of Election 2024
20 mins -
Alan Kyerematen reveals his future plans for Ghanaian Health professionals
21 mins -
AAIN empowers women and small enterprises in Upper East Region through SHINE project
22 mins -
Akufo-Addo leads nationwide commissioning of 80 educational projects
28 mins -
Ghana and Seychelles strengthen bilateral ties with focus on key sectors
59 mins -
National Elections Security Taskforce meets political party heads ahead of December elections
1 hour -
Samsung’s AI-powered innovations honored by Consumer Technology Association
1 hour -
Fugitive Zambian MP arrested in Zimbabwe – minister
2 hours -
Town council in Canada at standstill over refusal to take King’s oath
2 hours -
Trump picks Pam Bondi as attorney general after Matt Gaetz withdraws
2 hours