Otedola sells Geregu Power for N1.088tn, focuses on banking

Abdullateef Fowewe

Billionaire businessman Femi Otedola has offloaded his majority stake in Geregu Power Plc for a staggering N1.088 trillion, marking a seismic shift in Nigeria’s energy and finance sectors.

The transaction, financed by a consortium of banks led by Zenith Bank Plc, was officially announced by the Nigerian Exchange (NGX) on Monday.

Otedola’s Amperion Power Distribution Company Ltd previously controlled nearly 80 percent of the power generating firm, which he transformed from a run-down 80MW plant into a 435MW powerhouse.

The sale allows Otedola, chairman of First Holdco Ltd—the parent of First Bank of Nigeria Plc—to sharpen his focus on banking.

He retains some shares in Geregu but now holds 17.01 percent of First Bank, its largest stake since the lender’s founding in 1894.

First Bank’s shares skyrocketed from N5 when Otedola began investing to N53 by Friday’s close.

Otedola’s energy journey began with Zenon Oil in 2003, which dominated 93 percent of Nigeria’s diesel market.

He later snapped up African Petroleum in 2007, rebranding it Forte Oil before exiting in 2019 to double down on Geregu.

The entrepreneur, author of the Amazon bestseller Making It Big: Lessons from a Life in Business, continues to reshape Nigeria’s corporate landscape.