Billionaire businessman, Femi Otedola, has sold his majority stake in Geregu Power Plc for N1.088 trillion in a deal financed by a consortium of banks led by Zenith Bank Plc.
Otedola, who is also the chairman of First HoldCo Plc, will now concentrate on expanding his interest in the Nigerian banking sector, although he still retains some shares in Geregu.
Otedola's Amperion Power Distribution Company Limited held nearly 80 per cent of the power-generating company.
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Otedola currently owns 17.01 per cent of First Bank, its single largest shareholder since it was established in 1894.
A statement signed by the Structure HQ Company Secretary, Gbeminiyi Shoda, which was released on the Nigerian Exchange yesterday said, "The Board of Directors of Geregu Power notifies the Exchange and the investing public that it has received formal communication from its majority shareholder, Amperion Power Distribution Company Limited, regarding a change in its shareholding structure.
"The Company has been informed that Amperion Power Distribution Company Limited has undergone a restructuring of its ownership following a share sale and acquisition concluded on 29 December 2025.
"As a result of this transaction, MA'AM Energy Limited has acquired 95 per cent equity interest in Amperion Power Distribution Company Limited, thereby becoming the new controlling shareholder of Amperion Power Distribution Company Limited.
"Consequently, the indirect controlling interest previously held by Calvados Global Services Limited and Mr Femi Otedola in Geregu Power has been transferred to MA'AM Energy Limited."
It added that "this transaction does not involve the direct sale or transfer of shares of Geregu Power and therefore the shareholding structure of the Company at the NGX remains unchanged.
"However, the change in the ownership of the Company's majority shareholder results in a change in the ultimate beneficial ownership of 77 per cent of the Company's issued share capital."
It stated further that "following the above change in the ultimate beneficial ownership of the Company's issued share capital, the board of directors at its meeting held on 29 December 2025 considered and approved the appointment of Senator Abdul-Aziz Yari as the chairman and Abdulkadeer Njiddah as the non-executive director, while Usman Mohammed, Mohammed Jaafaru, Neka Adogu and Mahmud Magaji as the independent non-executive directors of the Company."
The statement said that "the Board is confident that the appointments will strengthen the governance structure and strategic direction of the Company.
It added that the Board also accepted the resignation of Mr Olufemi Otedola (chairman), Mr Akin Akinfemiwa (chief executive officer), Dr Julius Omodayo-Owotuga (deputy chief executive officer), Mr Christopher Adeyemi (non-executive director), Ms Olawunmi Otedola (non-executive director), Mr Anil Dua (independent non-executive director), and Mr Doron Grupper (independent non-executive director).
The managing director of Globalview Capital Limited, Aruna Kebira emphasised the importance of understanding the dynamics of the transaction involving Geregu Power, describing it as a voluntary agreement between a willing buyer and a willing seller.
According to him, before releasing a significant amount like N1 trillion, it is essential that thorough due diligence is conducted to avoid any unforeseen issues.
"This type of transaction is not just about moving money; it should be driven by the goal of generating profit," he added.
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Kebira pointed out that "the impact on Geregu Power may not be entirely negative.
"While there may be a significant divestment, it is crucial to analyse how this affects his overall influence in the market. The extent of this influence will depend on the specifics of the transaction and the percentages involved," he stated.
On his part, the vice chairman of Highcap Securities Limited, David Adonri said the new board will now determine the policies that will drive the company, saying that it is a strategic divestment.
In its third-quarter financial results for this year, Geregu Power's net profit jumped to N25.1 billion. The Company recorded revenue of N131.47bn during the period under review, compared to N112.58bn posted in the same period of 2024.
Total assets, estimated at N273.1 billion, grew by about 60 per cent within the first three years of its listing.
