Ghanaian government offers Bonsa Tyre for sale

ERJ staff report (DS)

Bonsaso, Ghana -- The Ghanaian government has begun the process of selling its 100 percent stake in Bonsa Tyre Company Limited as part of its on-going privatisation programme.

In an official document, the government says BTLC has capacity to produce 1,230 tyres and 960 inner tubes a day. It also produces retread compounds and rubber cement for tyres retreading and various diversified rubber products. There is also extra factory space for expansion.

BTCL is located at Bonsaso in Western Region of Ghana, 16 Kilometers South of Tarkwa on the main Takoradi/Tarkwa road. Bonsaso is an agricultural community with a population of 8,000 they are involved in rubber, oil palm and food crop farming as well as small scale mining.

The sale document says Bonsa Tyrewas established in 1963 to manufacture automobile tyres. At its inception Firestone acquired 60 percent stake in it, and the remainder 40 percent was maintained by the Government of Ghana. In 1981 Firestone sold its 60 percent state to the Government of Ghana. In 1990 the company underwent revitalisation under the “Bonsa Tyre Rehabilitation Project with a US$30.7 million credit facility and Dunlop as the Technical Consultant.

Interested parties can purchase the relevant documantation to register their interest for US$300.

The sale document notes that The factory comprises a land area of 157.79 acres acquired on 99 years lease from the Government of Ghana - in 1968. It adds that The lease is remarkable by the Government of Ghana for 50 years for a new investor. The document concludes, "It is worth nothing that there are some minor defects on the properties but the structural condition is good. This therefore, requires some repairs/rehabilitation and redecoration."

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Press release from Ghana web