Transnational Corporation Plc (NGX: TRANSCORP) has welcomed the acquisition of 5.52% of its shares by Femi Otedola, stating that it is an expression of confidence in its leadership and management.
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In a corporate action filed with the Nigerian Exchange on Thursday, TRANSCORP formally informed The Exchange and the investing public of the acquisition of 2,245,639,251 shares of TRANSCORP by Femi Otedola. The acquisition represents 5.52% stake in the company.
TRANSCORP reassured its shareholders of its commitment to remain resolute in executing the Group’s strategy of making strategic investments in key sectors within the Nigerian economy, its transformation agenda and its ability to contribute positively towards building prosperity for all.
It went further to that the its leadership and management will continue its unwavering commitment to superior stakeholders’ returns, anchored in our ideology of Africapitalism.
Investogist had on Tuesday reported that Femi Otedola had acquired 2.245 billion shares of TRANSCORP, making him the second largest shareholder and the largest individual shareholder of the company.
The only shareholder with more than 5 percent shareholding in Transcorp is UBA Nominees Limited that holds 9.25% or 3.76 billion shares of the company, according to the company’s 2022 financial report.
Transcorp grew its revenue to N134.72 billion in 2022 from N111.22 billion in 2021 but its profit after tax dropped to N16.84 billion from N23.83 billion.
The biding war started by the announcement of the acquisition has seen TRANSCORP’s share price rise from N1.40 to N2.45, a whooping 75% rise in price.
Nnamdi Maduakor is a Writer, Investor and Entrepreneur
