Billionaire investor Femi Otedola has exited Geregu Energy Plc in a landmark $750 million transaction that sees him divest his 77% controlling stake within the energy firm.
That is based on a submitting by Geregu Energy Plc on the Nigerian Trade (NGX) web site and sources aware of the matter.
The transaction was executed by the sale of Otedola’s 95% stake in Amperion Energy Distribution Firm Restricted to MA’AM Vitality Ltd, a Nigerian agency, marking one of many largest personal energy divestments in Nigeria’s historical past.
What they’re saying
In response to the NGX submitting, Amperion Energy Distribution Firm Restricted, the bulk shareholder of Geregu Energy, has undergone a big restructuring of its possession.
- The doc confirms that “MA’AM Vitality Ltd has acquired a 95% fairness curiosity” in Amperion Energy, successfully making it the brand new controlling shareholder of Geregu Energy Plc.
- Consequently, the oblique controlling curiosity beforehand held by Calvados World Providers Restricted and Mr. Femi Otedola “has been transferred to MA’AM Vitality.”
- In response to info on its web site, MA’AM Vitality is an Abuja-based built-in vitality firm engaged in electrical energy era and provide, vitality buying and selling, and advertising and marketing.
Sources knowledgeable Nairametrics that the transaction, which closed on December 29, 2025, was financed by a consortium of Nigerian banks led by Zenith Bank, with Blackbirch Capital appearing as monetary advisers.
- Whereas the sale concerned Otedola’s stake in Amperion, Geregu Energy clarified that this “doesn’t contain the direct sale or switch of shares of Geregu Energy Plc,” that means the corporate’s public shareholding construction on the NGX stays unchanged.
- Thus, the shareholding construction listed on the NGX stays unchanged, although the final word helpful possession of 77% of the corporate has successfully shifted.
Geregu Energy is at present valued at N2.85 trillion, buying and selling at N1,140 per share, and stays one of the capitalised and worthwhile companies on the Nigerian Trade.
Sturdy man of the capital market
Otedola’s involvement within the vitality sector spans over 20 years. He started in 1999 with the incorporation of Zenon Petroleum and Fuel, later buying African Petroleum (AP) which he rebranded as Forte Oil.
Following his exit from Forte Oil in 2019, he carved out the facility era arm—Geregu Energy—and grew it into one in all Nigeria’s foremost GenCos, contributing 10% to nationwide grid provide.
Underneath his management, Geregu expanded from 40MW to a nameplate capability of 435MW, turned constantly worthwhile, and averaged N20 billion in annual dividends.
A brand new strategic play – Otedola’s exit from Geregu indicators a broader strategic shift to the monetary sector. He now serves as Chairman of First HoldCo, the guardian firm of First Bank of Nigeria, the place he holds a 17.1% stake—the only largest particular person shareholding.
- His entry into First Bank in 2022 reshaped its possession construction and has been adopted by aggressive reforms, together with recapitalisation, restructuring, and debt restoration drives.
- The Geregu divestment is just not merely a portfolio reshuffle; it represents a reallocation of capital and affect to the monetary providers sector the place Otedola sees larger upside and management.
- With $750 million in unlocked liquidity, the transfer comes as Nigeria’s banking sector braces for a wave of recapitalisation and consolidation.
Why this issues
The transaction comes at a pivotal second for Nigeria’s electrical energy market. The Federal Authorities lately introduced a N4 trillion power-sector liquidity fund, with an preliminary N590 billion at present being disbursed.
- This fund goals to settle GenCo money owed, together with obligations to Geregu Energy, and stabilise money stream within the sector.
- Otedola’s exit, nevertheless, highlights a rising pattern—early buyers in Nigeria’s post-2013 energy privatisation are reaching maturity of their funding cycle.
As valuations rise and liquidity improves, extra exits are anticipated, signalling a new section of capital recycling within the sector.
Concurrently, legacy gamers are in search of recent capital to place themselves for a extra market-driven working surroundings, with restricted authorities assist.
What you must know.
- Otedola’s give attention to banking might see First Bank develop into a key participant in Nigeria’s recapitalisation wave.
- Different electrical energy sector transactions are additionally in movement. Nairametrics understands that the sale of Eko Electrical energy Distribution Firm to North South Energy is nearing completion, with about N150 billion already acquired.
- The altering possession dynamics within the sector level to elevated investor exercise, restructuring, and improved liquidity situations.
Be First to Comment