Billionaire businessman Femi Otedola increases stake in Transnational Corporation Plc with the acquisition of 5.52% of the company’s shares in a deal worth N2.245 billion ($5.5 million).
Transcorp is a leading Nigerian conglomerate with investments in the hospitality, power, oil, and gas sectors.
AMCON offloaded some of the shares it acquired from non-performing assets of banks and other companies, which allowed Otedola to make the acquisition.
The deal triggered an unprecedented rise in the value of Transcorp, and its stock price rose to N1.69 kobo, a 35% appreciation in one week. Otedola now holds the second-largest individual shareholder position after UBA nominees.
The move is in line with Otedola’s diversification strategy, which will give him access to upstream petroleum holdings and enable him to partake in the wealth created by Transcorp’s power company.
The company’s president, Dr. Owen Omogiafo, said Transcorp welcomes any new shareholder.
