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.

JOYBUSINESS understands that the funds were raised last week, according to persons familiar with the outcome of the offer.

The amount falls short of the GH¢4 billion initially targeted for the first tranche.

It is unclear at this stage whether COCOBOD or Cocoa Capital PLC has any arrangements in place to secure additional funding to bridge the gap.

Sources say investors who participated in the offer will receive an interest rate of 11%, with the Commercial Paper having a tenor of 266 days.

GH¢16.3bn Cocoa Financing Programme

Cocoa Capital PLC is seeking to raise up to GH¢16.3 billion through the Domestic Cocoa Notes Programme to support cocoa purchases and strengthen the cocoa sector's financial position.

Of the total financing target, GH¢14 billion will 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 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, market conditions and the applicable programme terms.

How the Funds Will Be Secured

Repayment obligations under the programme will be supported by receivables from selected executed cocoa forward sales contracts assigned to Cocoa Capital PLC.

Proceeds from these contracts will flow through designated ring-fenced accounts held with appointed account banks.

The funds will then be applied in accordance with the programme’s payment waterfall.

The arrangement is also intended to provide additional assurance to investors that funds raised will be managed and deployed prudently.

About 14% of the funds raised will also be used to finance COCOBOD's legacy debts.

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 PLC

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 purpose is to raise funds and apply the proceeds to approved cocoa-sector financing and refinancing activities.

The move gives COCOBOD a dedicated vehicle for accessing the domestic capital market and raising funds under the Cocoa Notes Programme.

Domestic Cocoa Fund-Raising Programme

The programme forms part of the government’s broader restructuring of the cocoa sector.

It is intended to introduce a more sustainable financing model to support timely cocoa purchases, address legacy obligations and strengthen the sector.

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 programme as a new chapter for the cocoa sector as ongoing reforms seek to strengthen financial discipline and build a more sustainable value chain.

“This turnaround signals a cocoa sector that is more resilient, disciplined, and built to deliver value at every level,” COCOBOD told investors.

COCOBOD has maintained that the reforms are aimed at reshaping the sector and positioning cocoa as a long-term engine of shared prosperity for stakeholders.