Nigerian billionaire, Femi Otedola has exited his stake in Transcorp Plc.
Gatekeepers News earlier reported that Otedola, chairman of Geregu Power, first acquired 5.52 percent stake in the conglomerate Transnational Corporation Plc (Transcorp) and swiftly increased his shares in the company to 6.3 percent.
However, the billionaire investor has reportedly reached a deal with the Group Chairman of Transnational Corporation Plc (Transcorp), Tony Elumelu, to exit the company.
According to Nairametrics, both parties entered negotiations about a possible exit in the early hours of Thursday after both had declared willingness to work together in an apparent bromance.
The negotiations leading to the agreement were said to be swift yet cordial as both parties opined it was in their mutual best interest to part ways. Elemelu and Otedola publicly agreed to work together to promote Transcorp’s interests.
Sources with knowledge of the deal reach between the two billionaires told the medium that Elumelu bought Otedola out at a premium said to be between 4 to 6x the current market price of the share.
The Nigerian Exchange is expected to make an official announcement on the transaction.
The development comes after Elumelu’s HH Capital acquired 25.58% In Transcorp Plc shortly after Otedola’s 6.3 percent acquisition.
