Transcorp Consortium has announced the 100% acquisition of the 966MW installed capacity Afam Power Plc and Afam Three Fast Power Limited (jointly referred to as “Afam GenCo”), at an acquisition cost of N105.3bn. according to a press release by Transnational Corporation of Nigeria Plc.
The signing ceremony was held at the State House, Abuja on Thursday, November 5, 2020, between the Federal Government, represented by His Excellency, the Vice President of Nigeria, Professor Yemi Osinbajo, SAN and Transcorp Consortium represented by the Chairman of Transnational Corporation of Nigeria Plc (Transcorp), Mr. Tony O. Elumelu, CON.
During his remarks The Vice President, Professor Osinbajo, said “This investment by Transcorp in acquiring ‘Afam Power Plc’ and ‘Afam Three Fast Power’ is the first of many new investments planned in the sector across the value chain. We expect that under Transcorp’s ownership the operational capacity of the facility will be raised to its full capacity.”
He added that “We have seen the progress that Transcorp has made with the Ughelli Power Plant in raising the operational capacity significantly, since it acquired the plant in 2013, and we expect nothing less from the Afam acquisitions.”
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Speaking on the acquisition, The Chairman of Transcorp, Tony O. Elumelu, CON, said “Bringing affordable, dependable power to the Nigerian people is core to Transcorp’s mission. Our significant investments in the power sector are demonstrations of our contribution to the economic transformation that I know Nigeria is capable of. Power remains the single most critical factor for lifting our people out of poverty and job creation for our teaming youth.
He went further to say that “The acquisition marks a significant milestone for Transcorp in the pursuit of its corporate purpose of improving lives and transforming Nigeria. I am honoured to be working with the Federal Government and urge it to continue its policy of creating an enabling environment, that sustains the confidence of both local and foreign investors – and delivers the opportunities and aspirations that all Nigerians seek”.
About TRANSCORP
Transnational Corporation of Nigeria Plc (Transcorp) is a publicly quoted conglomerate with a diversified shareholder base of over 300,000 investors, the most prominent of which is Heirs Holdings Limited, a pan-African proprietary investment company.
The Transcorp portfolio comprises strategic investments in the hospitality and energy sectors. Our notable businesses include Transcorp Hilton Abuja, Transcorp Hotels Calabar, Transcorp Power Limited and Transcorp Energy Limited, operator of OPL 281.
At the close of trading on Thursday, TRANSCORP rose by 9.86%, the maximum possible daily gain to close at N0.78 per share.
In three months, the equity price has risen by 30.00%. However, YTD it is down by 21.21% while in 2 years and 5 years it has lost 36.07% and 57.84% of its value respectively.
By; Ifunanya Ikueze
