The Ghana Cocoa Board (COCOBOD), through its wholly owned special-purpose vehicle, Cocoa Capital PLC, has raised GH¢3.39 billion from the first tranche of its Commercial Paper (CP) programme.
The funds were raised last week, according to persons familiar with the outcome of the offer.
The amount, however, fell short of the GH¢4 billion initially targeted for the first tranche.
It remains unclear whether COCOBOD or Cocoa Capital PLC has arrangements in place to secure additional funding to bridge the GH¢610 million shortfall.
Sources familiar with the transaction said investors who participated in the offer will receive an interest rate of 11%, with the Commercial Paper carrying a tenor of 266 days.
GH¢16.3bn cocoa financing programme
Cocoa Capital PLC is seeking to raise up to GH¢16.3 billion under the Domestic Cocoa Notes Programme to support cocoa purchases and strengthen the financial position of the cocoa sector.
Of the total amount, GH¢14 billion is expected to be raised through Commercial Papers to meet short-term liquidity requirements for cocoa purchases during the 2026/27 crop season.
The remaining GH¢2.3 billion will be raised through medium- to long-term bond issuances to refinance existing COCOBOD legacy debt.
The Commercial Paper component will be issued in three tranches. The first tranche was targeted at GH¢4 billion, followed by a second tranche of GH¢4 billion and a final tranche of GH¢6 billion.
The timing and actual amounts to be raised will depend on COCOBOD’s funding requirements, prevailing market conditions and the applicable programme terms.
Funds secured by cocoa export receivables
Repayment obligations under the financing programme will be supported by receivables from selected executed cocoa forward sales contracts assigned to Cocoa Capital PLC.
Proceeds from the contracts will be channelled through designated ring-fenced accounts held with appointed account banks. The funds will then be applied according to the programme’s payment waterfall.
The structure is intended to provide additional assurance to investors that funds raised under the programme will be managed and deployed prudently.
About 14% of the funds raised will also be used to finance COCOBOD’s legacy debts.
The bookrunners for the programme are Absa Bank Ghana Ltd, CalBank PLC, Fincap Securities Ltd, GCB Bank PLC, One Africa Securities Ltd and Stanbic Bank Ghana Ltd.
Cocoa Capital established to lead fundraising
Cocoa Capital PLC was incorporated on August 7, 2026, under the Companies Act, 2019, to lead the fundraising programme.
The company is wholly owned by COCOBOD and has an initial paid-up capital of GH¢5 million.
Its principal mandate is to raise funds and apply the proceeds to approved financing and refinancing activities within the cocoa sector.
The establishment of the special-purpose vehicle provides COCOBOD with a dedicated structure for accessing the domestic capital market and raising funds under the Cocoa Notes Programme.
Part of broader cocoa sector reforms
The fundraising programme forms part of government’s broader efforts to restructure the cocoa sector and introduce a more sustainable financing model.
The programme is intended to support timely cocoa purchases, address legacy financial obligations and strengthen the sector’s overall financial position.
Cocoa Capital PLC has secured approval from the Securities and Exchange Commission (SEC) to raise funds through the domestic debt capital market.
COCOBOD officials have described the initiative as a new chapter for the cocoa sector, as ongoing reforms seek to improve financial discipline and establish a more sustainable cocoa value chain.
“This turnaround signals a cocoa sector that is more resilient, disciplined, and built to deliver value at every level,” COCOBOD told investors.
The Board has maintained that the reforms are aimed at reshaping the sector and positioning cocoa as a sustainable long-term engine of shared prosperity for stakeholders.
