PETROSOL Platinum Energy PLC’s maiden PETROSOL corporate bond has attracted GH¢178.07 million in bids against a GH¢100 million target, giving the indigenous oil marketing company a strong debut on Ghana’s corporate debt market.
The company listed its Series 1 and Series 2 Notes on the Ghana Fixed Income Market of the Ghana Stock Exchange on Monday, August 24, after the bookbuild closed at 178% subscription.
The notes represent the first issuance under PETROSOL’s GH¢200 million Note Issuance Programme approved by the Securities and Exchange Commission and the Ghana Stock Exchange.
Both tranches were oversubscribed, although demand was considerably stronger for the four year note.
Four Year Note Attracts 229% Subscription
PETROSOL’s four year Tranche 01 received GH¢114.28 million in bids against the GH¢50 million targeted, translating into a subscription rate of 229%. The bids came from 66 underlying investor clients.
The five year Tranche 02 attracted GH¢63.80 million against its GH¢50 million target, representing 128% subscription from 18 underlying investor clients.
Combined bids therefore reached GH¢178.07 million.
PETROSOL described the demand as a vote of confidence in its business and growth plans, particularly at a time when Ghana’s corporate bond market remains considerably smaller than the government securities segment.
Board Chairman Daniel Acheampong said the company deliberately spent years preparing before approaching investors.
“The oversubscription on both tranches tells us investors recognise that work,” he said.
“This listing is the result of nearly three years of deliberate preparation by the Board and Management, strengthening our governance, our reporting and our discipline so that when we came to the market, we would come as a credible institutional counterparty, not merely a hopeful borrower.” - Daniel Acheampong
PETROSOL Plans Cash Based Fuel Procurement
The GH¢100 million will not sit idle.
PETROSOL says part of the proceeds will strengthen working capital and allow it to shift fuel procurement from credit purchases towards cash purchases.
That change is expected to reduce the company’s cost of sales, improve margins and create room to offer greater value to consumers.
Another portion will finance expansion of PETROSOL’s retail service station network across Ghana.
Chief Executive Officer Michael Bozumbil said the capital market move had always been part of the company’s longer term growth strategy.
“Accessing the capital market was always part of our long term plan, not as a shortcut, but as the natural next step for a business that has proven it can grow sustainably and responsibly.” - Michael Bozumbil
Mr Bozumbil added that management would restrict deployment of the money to the purposes communicated to investors.
“Working capital enhancement, cash basis procurement and retail network expansion, nothing else,” he said.
PETROSOL intends to return to the market at a later stage to raise the remaining GH¢100 million under the approved GH¢200 million programme.
Three Years of Preparation Behind Listing
The bond issuance follows a series of corporate changes undertaken by PETROSOL as it prepared to tap the capital market.
The company restructured its Board in 2024 with the appointment of independent non executive directors before converting into a public limited liability company in October 2025.
It also established Board committees covering Audit and Risk, Remuneration and Nominating functions, while moving to full International Financial Reporting Standards reporting.
Absa Bank Ghana and Databank Brokerage acted as Joint Lead Arrangers for the transaction. KPMG served as Reporting Accountants, Fidelity Bank Ghana as Note Trustee and Kimathi & Partners as Legal Advisers.
PETROSOL said its Audit and Risk Committee would be among the governance structures monitoring how the bond proceeds are deployed.
“The Board will hold Management to the same discipline in ensuring these proceeds are applied exactly as promised to our investors,” Mr Acheampong said.
New Corporate Name Enters GFIM
The listing also adds another corporate issuer to a Ghana Fixed Income Market still overwhelmingly dominated by government securities.
That matters beyond PETROSOL.
Deepening corporate bond activity gives Ghanaian businesses another route to raise longer term capital while providing institutional investors with alternatives to Treasury bills and government bonds.
Trading in PETROSOL’s Series 1 and Series 2 Notes begins on the GFIM from August 24, with the Central Securities Depository providing settlement, registry and depository services.
The company started in 2006 as a petroleum business consulting practice and received its Oil Marketing Company licence in 2013.
PETROSOL says its network has grown from four fuel stations in 2014 to 109 stations across 13 regions. It currently supplies petrol, diesel, LPG and lubricants to retail and corporate customers and ranks among Ghana’s top 12 OMCs by volume out of more than 200 operators.
The bond now gives the company fresh capital for its next expansion phase. More importantly for PETROSOL, the GH¢178 million placed on the table for a GH¢100 million offer gives it something else as it prepares to return for the second half of the programme: evidence that investors were willing to back the first one.
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