KEY POINTS
- Billionaire Femi Otedola has sold his 77% stake in Geregu Power Plc for $750 million.
- The buyer is MA’AM Energy Ltd, an Abuja based integrated energy company.
- The sale triggers a complete overhaul of the Geregu Power board of directors.
Nigerian billionaire Femi Otedola has sold his majority stake in Geregu Power Plc, one of the country’s main electricity generators, in a deal valued at $750 million.
The transaction was finalized on Monday. Otedola divested his shares indirectly by selling a 95 percent equity interest in Amperion Power Distribution Company Limited, the firm that holds the controlling stake in Geregu Power, to MA’AM Energy Ltd.
According to a corporate filing submitted to the Nigerian Exchange, the sale makes MA’AM Energy the new controlling shareholder of the publicly traded power company. The deal is viewed as one of the largest private power divestments in recent Nigerian history.
New Board Takes Over Following Sale
The change in ultimate beneficial ownership has prompted an immediate and sweeping reconstitution of the Geregu Power board. The company announced a slate of new director appointments effective Monday, following the resignation of Otedola and several other board members.
MA’AM Energy is described in the filing as an integrated energy company involved in power generation, supply, and trading. The transaction did not involve a direct transfer of Geregu Power shares on the stock exchange, meaning the company’s shareholding structure on the NGX remains unchanged for now.
Industry analysts are watching the move closely, as Geregu Power is a critical player in Nigeria’s struggling electricity sector. The exit of a high profile investor like Otedola and the entrance of a new controlling entity signals a significant transition for the company. The new board is expected to outline its strategic direction for the power firm in the coming weeks
