The Social Security and National Insurance Trust (SSNIT) has ruled out any plans to sell or bring in strategic investors for Labadi Beach Hotel, instead revealing plans to expand the facility as part of efforts to build on its strong financial performance.
Speaking on Joy News’ PM Express Business Edition, SSNIT Director-General Kwasi Afreh Biney described the hotel as one of the Trust’s most successful investments, noting that its consistent profitability and dividend payments make it a key asset in SSNIT’s investment portfolio.
According to him, discussions are already underway to increase the number of rooms at the hotel, reflecting the Trust’s confidence in its long-term growth prospects.
“Let me assure the people of Ghana that we will not sell any of our hotel investments,” Mr Afreh Biney stated, dismissing speculation that SSNIT was considering divesting its stake in the hotel or seeking external investors.
He disclosed that Labadi Beach Hotel paid SSNIT GH¢17.8 million in dividends based on its 2024 financial performance and is expected to make an even higher payout once its latest audited accounts are completed.
The Director-General said the hotel recorded a profit before tax of more than GH¢67 million and a profit after tax exceeding GH¢50 million, positioning it among the strongest-performing investments under the Trust.
Mr Afreh Biney argued that the hotel’s financial strength eliminates any need for outside capital injection, noting that the facility possesses one of the strongest balance sheets in the hospitality industry.
“There is no, absolutely no conversation anywhere about Labadi Beach Hotel. Absolutely, why hotel? When Labadi can even go to a bank today and borrow, because Labadi has one of the best balance sheets,” he said.
He further suggested that the hotel would attract strong investor interest if it were ever listed on the stock exchange, although SSNIT has no intention of pursuing such a move.
The SSNIT boss explained that the Trust’s strategy is to support and grow investments that are performing well rather than dispose of them.
“To the contrary, we are actually engaging Labadi on expanding Labadi, the number of rooms that Labadi has,” he said.
Mr Afreh Biney contrasted Labadi Beach Hotel’s performance with some hotels under the Golden Beach Group, including La Palm Royal Beach Hotel, Elmina Beach Resort and Busua Beach Resort, which he said are currently undergoing restructuring and turnaround efforts.
Despite the challenges facing some of the other hospitality assets, he reiterated that SSNIT has no plans to sell any of its hotels, including La Palm.
The comments come amid growing public interest in the management of SSNIT’s investments and the Trust’s efforts to maximise returns on contributors’ funds while preserving long-term value for pensioners and workers across the country.
