Otedola affirms acquisition of 5.2% stake in Transcorp

The chairman of Geregu Power, Femi Otedola, has officially announced that he has purchased a 5.52 per cent share in Transcorp Plc.

The change elevates the multibillionaire businessman to the position of the second-largest shareholder in the organization.

There have recently been rumours that an acquisition between a company owned by Otedola and the Asset Management Corporation of Nigeria (AMCON) was completed.

Otedola said he was looking forward to working with Transcorp's board and management to take the company to new heights in a tweet on Monday that confirmed the deal's completion.

"Following this acquisition, I look forward to working with the board and management of Transcorp to realise the amazing future potential of the corporation,” the tweet reads.

The United Bank for Africa (UBA) nominees, who owned around 9.25 per cent of the firm as of December 31, 2022, are the only other stakeholder with more than a 5 per cent ownership stake in Transcorp, according to the company's most recent audited reports.

The acquisition further elevates Otedola above Transcorp Chairman Tony Elumelu, who will own a 2.06% (direct and indirect) share in the business as of December 31, 2022.

Commenting on the development, Transcorp, in a statement signed by Funmi Olofintuyi, the company secretary, said: “As noted in our previous communication, the company welcomes this expression of confidence in its leadership and management as we continue our unwavering commitment to superior stakeholders’ returns, anchored in our ideology of Africapitalism.”

“Rest assured of our commitment to remain resolute in executing our Group’s strategy of making strategic investments in key sectors within the Nigerian economy, our transformation agenda and our ability to contribute positively towards building prosperity for all.”

Source