[ 2021-02-11 ]

Data Bank pulls out of Agyapa deal as transaction advisors
Data Bank, an investment firm which has Finance
Minister Ken Ofori-Atta as co-owner has
relinquished its role as financial advisors in the
controversial Agyapa Deal.

Data Bank and Imara Holding were the two advisors
for the deal which is currently suspended and has
been referred to Parliament.

CitiNewsroom reports that Data Bank has written to
Imara Holdings over their decision to withdraw as
financial advisors.

In the supposed letter, the management of Data
Bank said that the decision was necessitated by
the attacks on the person of Ken Ofori-Atta.

Despite their belief that the presence on the deal
would have served the interest of Ghana, they
believe that pulling out is a necessary step in
protecting the reputation of Ofori-Atta and the
bank itself.

“The Board of Directors of Databank has observed
with deep concern persistent attempts by some
political actors, during the political season
leading up to the general elections of December
2020, to tarnish our hard-won reputation
painstakingly built over the last 30 years, by
unfairly exploiting our participation and
involvement in the transaction as one of the
transaction advisors. We believe this is
principally due to the Minister of Finance’s
association with Databank as its co-founder.”

“The Board of Databank, whilst being convinced
about the immeasurable benefits to be reaped by
the Republic of Ghana from the transaction, is of
the view that the tumult generated by the
involvement of Databank in the transaction,
coupled with insinuations and aspersions cast on
the reputation of the company in the lead up to
the election, not only grossly compromises the
ability to execute such a market-sensitive and
novel transaction, but also has a real tendency to
severely damage the invaluable business reputation
of Databank,” the letter signed by Kojo
Addae-Mensah, Group CEO of Databank explained.

“It is this deep market knowledge and extensive
experience that makes us understand that the
potential damage from the fall out of all the
negative press regarding Databank’s involvement
in the Agyapa transaction, especially the proposed
IPO, despite our sterling track record over the
years, is incalculable both in the domestic and
international financial markets.”

“The reasons expressed above have compelled us
to take the hard-decision to formally withdraw our
services as your partner and co-transaction
advisor on this mandate.”

The Agyapa deal formed part of government plans to
ensure that the country extracts as much benefits
as possible from its mineral resources.

It was going to be the monetization of Ghana’s
gold royalties through the dual listing of the
Agyapa Gold Royalties Company on the Ghana and
London Stock Exchanges.

The deal however hit a snag following a damning
report by the former Special Prosecutor, Martin
Amidu.

Source - Ghanaweb

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