TheCable

Femi Otedola, chairman of Geregu Power, has exited his 6.3 percent stake in Transnational Corporation Plc (Transcorp), a diversified conglomerate with investments in the power, hospitality and energy sectors.

According to BusinessDay, sources in the know of the development said Otedola sold his shares to Tony Elumelu, group chairman of Transcorp.

The sources said Elumelu purchased Otedola shares using Transcorp’s closing price on Thursday at an options contract due to be paid in a series of installments over time.

“Both parties believed that reaching an agreement was in their best interests to do so, so the negotiations leading up to it were said to be brief but friendly. Otedola and Elemelu openly committed to collaborating to advance Transcorp’s objectives,” the sources were quoted as saying.

On Thursday, Transcorp announced that HH Capital Limited, a special purpose vehicle (SPV) owned by Elumelu, increased its stake in the conglomerate to 25.58 percent.

“In compliance with Chapter 17, Rule 17.13 of the NGX Issuers Rules, Transnational Corporation Plc (the Company) hereby informs the NGX and the investing public of the below new acquisition of shares in the company,” Transcorp said.

“With this new acquisition, HH Capital Limited now holds a total of 9,991,173,177 units, representing 25.58 percent of the company’s total shares.”