In a landmark transaction reshaping Nigeria's corporate landscape, billionaire businessman Femi Otedola has divested his controlling interest in Geregu Power Plc. The deal, valued at a staggering N1.088 trillion (approximately $750 million), stands as one of the largest private power transactions in the nation's history.
The Structure of the Mega-Deal
According to official filings with the Nigerian Exchange (NGX) and sources close to the matter, the transaction was finalized on Monday, December 29, 2025. A consortium of financial institutions, spearheaded by Zenith Bank Plc, provided the financing for the acquisition.
The sale was executed through a strategic change in ownership at the holding company level. MA’AM Energy Ltd, an integrated energy company based in Abuja, acquired a 95% equity interest in Amperion Power Distribution Company Ltd. Amperion was the entity that held nearly 80% of Geregu Power Plc, effectively giving Otedola control.
It is crucial to note that this was not a direct sale of Geregu Power's shares on the stock exchange. The company clarified that its public shareholding structure on the NGX remains unchanged. However, the ultimate beneficial ownership of roughly 77% of the power generation company has now transferred from entities linked to Otedola to MA’AM Energy.
Strategic Implications for Otedola and the Market
This monumental deal frees up significant capital for Femi Otedola at a pivotal time. Industry analysts suggest the billionaire is likely to channel these resources into expanding his footprint in Nigeria's banking sector, which is currently undergoing a major recapitalization exercise.
Otedola serves as the Chairman of First HoldCo Ltd, the parent company of First Bank of Nigeria Plc, where he is the single largest shareholder with a 17.01% stake. His investment journey in the bank, where shares have risen from around N5 to N53, demonstrates his strategic market timing.
The transaction also marks a partial exit from the energy sector where Otedola built his fortune. His journey included founding Zenon Oil, acquiring and rebranding African Petroleum to Forte Oil, and ultimately focusing on power generation with Geregu. Under his stewardship, Geregu's capacity was significantly boosted from about 80MW to a nameplate capacity of 435MW, contributing approximately 10% to the national grid and paying substantial annual dividends.
Financial Health of Geregu Power
The attraction of Geregu Power is underscored by its robust financial performance. For the nine-month period in 2025, the company announced a remarkable revenue of N112.5 billion. This figure represents a 102% growth compared to the N55.7 billion recorded in the same period the previous year.
A breakdown shows that N71.4 billion was generated from energy sales, while N41.1 billion came from capacity charges. This strong performance has positioned Geregu Power as a heavyweight on the NGX, with a market valuation of about N2.85 trillion and a share price hovering around N1,140 at the time of the deal.
The acquisition was advised by Blackbirch Capital, and while Otedola relinquishes control, he will retain a minority interest in Geregu Power Plc. This move not only reshapes ownership in a critical national asset but also signals a significant reallocation of capital within Nigeria's top-tier investment circles.
