Nigerian billionaire Femi Otedola has sold off his whole shares in Transcorp Plc to Tony Elumelu, the corporate’s chairman and greatest shareholder. This construction comes two weeks after news first emerged about his acquisition of a expansive minority stake.
The strategic sale puts an end to the tantalizing corporate drama that ravaged Nigeria’s capital markets at some point soon of the last diverse days. Primarily based totally on reports, the transaction modified into a negotiated deal between Otedola and Elumelu, which modified into brokered by current, mutual company of the 2 tycoons.
An undisclosed offer suggested newsmen that Elumelu paid Otedola a 400-per cent top price on Transcorp’s closing label on Thursday to produce his bloc of shares. This implies that Otedola, who owned 2.6 billion shares or 6.3 per cent of the corporate, modified into paid about NGN 12.5 ($0.027) per fragment, and walked away with a N32.5 billion ($70 million) payout.
Otedola and Transcorp: All you personal gotten to know
Chairman of Geregu Vitality, Otedola, had earlier acquired a 5.52-per cent stake in Transcorp. The acquisition which modified into consummated between an entity owned by Otedola and AMCON, made him the 2nd-greatest shareholder of the corporate. Newsmen gathered that Otedola further acquired further shares, increasing his curiosity in the conglomerate to 6.3 per cent.
His acquisition which came at a time when Transcorp’s stock modified into at N1 ($0.003) per fragment modified into described by many as Otedola’s are trying to carry alter of one of Nigeria’s indigenous and most identified conglomerates.
Elumelu’s battle for Transcorp
In response to Otedola’s earlier acquisition, Elumelu acquired an further 9.7 billion shares in separate affords to ramp up his combined stake in the community to 10.5 billion shares or 25.9 per cent. This dangle cemented his area as Transcorp’s fundamental shareholder. As well to his dangle, sources printed that Elumelu called mutual company to assist dealer a take care of Otedola, who modified into reportedly no longer taking his calls.