As part of a bid to dominate the Nigerian power sector, the Transcorp Group has led a consortium to acquire a 60% stake in the Abuja Electricity Distribution Company (AEDC) through its energy subsidiary, Transcorp Power.
Gatekeepers News reports that in a significant power move which signifies the intent of the Transcorp Group to improve the Nigerian power sector, the investment in the AEDC, a major stakeholder in the industry, is primed to see the company take on new frontiers in one of Nigeria’s most promising sectors.
The members of executives of Transcorp Group have also been appointed to hold major positions in the AEDC, with Transcorp Power Managing Director/Chief Executive Officer Christopher Ezeafulukwe now the head of the AEDC board as the new MD/CEO.
The reshuffle also sees Peter Ikenga, current CEO of Transcorp Energy, succeeding Christopher Ezeafulukwe as MD of Transcorp Power Ltd.
Transcorp Group’s investment in the power sector has been welcomed by industry leaders, stakeholders and followers as the company’s sound business operations, corporate governance and outstanding leadership are considered essential qualities to bring into the power sector.
With the Transcorp Group’s market capitalisation already above N540bn, investment into the AEDC is a strategic move to reposition the power sector and lead its redirection to quality service provision, which will improve its business potential.
In May 2023, the National Council on Privatisation approved the Transcorp-led consortium as the new strategic investor in Abuja Electricity Distribution Company. The move was greeted with excitement in the power sector as Transcorp Group’s history of value creation is expected to improve significantly the power sector and jolt many other investors into helping to reposition the industry.
The 972-Megawatt power plant in Ughelli, Delta State, is one of the Transcorp Group’s major power investments and one of its ways to be an industry leader.
Ezeafulukwe, who now heads the AEDC board, has a history of performance after positioning the company to be a sector leader during his leadership of Transcorp Power Ltd.
Transcorp Power Ltd has consistently led the Nigerian power sector, being the first successor power company from the 2013 power privatisation programme, to be discharged from post-privatisation monitoring by the National Council on Privatization, surpassing the council’s expectations. The Ughelli Power plant, which Transcorp Group acquired during the privatisation of the power sector in 2013, demonstrates the Group’s transformative prowess. The plant’s available capacity, which stood at 160MW on acquisition, increased by 227% to 680.83MW in 4 years, surpassing the Bureau of Public Enterprise’s (BPE) five-year target of 670MW. With Ezeafulukwe’s proven capabilities and extensive experience, he will be pivotal in rejuvenating AEDC, the power supplier to the nation’s capital city, Abuja and its environs.
The Transcorp Group’s commitment to improving lives and transforming societies has remained resolute. With billionaire businessman Tony Elumelu as Chairman of the group, which has subsidiaries including Transcorp Power Limited and Transcorp Hotels Plc And Transcorp Energy, it has become one of Nigeria’s most dynamic companies. It is blessed with sound leadership provided by astute professionals.
The company’s commitment to improving education, environment, empowerment, and promoting entrepreneurship to improve communities has become one of its greatest strengths. The AEDC investment may be, in a few years to come, one of the most strategic investments in an industry urgently in need of reputable and sound management.
