Otedola’s energy company, Geregu Power will be listed on Nigerian Exchange Limited (NGX) at a share price of N100 per share.
Geregu power which is one of the leading electricity power plants in Nigeria will be listing an ordinary share of 2.5 billion.
The listing is scheduled to take place on Wednesday 5th of October 2022 in a short ceremony at the Nigeria Exchange Commission (NGX). The event will be attended by top executives of Geregu Power Plc.
After a successful listing, Geregu Power will be the first electricity company- generation, transmission, or distribution -that will be listed on the Exchange in Nigeria’s history.
In 2021, Geregu Power reported an increase in revenue to the tune of N70.9 billion which represents 32.3 percent year-over-year.
Profit after tax stood at N20.5 billion, representing an increase of 45.2 percent when compared to N14.1 billion made in 2020.
It will be recalled that Geregu Power had earlier completed the issuance of a N40.01 billion bond in July 2022.
The bond which commenced on July 1, 2022, following relevant approval from the Securities and Exchange Commission (SEC) ended on July 14, 2022, with a bond yield of 14.50 per cent.
Geregu Power later disclosed that the bond which was the largest corporate bond issuance by a power generation company in Nigeria’s capital market was oversubscribed.
Geregu Power Plc is a power company primarily engaged in the generation and sale of electric power in Nigeria. The company will be valued at about N270 billion immediately after the listing.
Meanwhile, the company which currently has a capacity of 435 MW is bidding for another 434 MW power plant which will be named Geregu 2 at a cost of N140.7 billion.
Geregu 2 is located in Ajaokuta, Kogi state and has a configuration of three turbines. Geregu Power Plc intends to increase its capacity to 735 MW in the medium term. It is thus likely that the power plant will herald the creation of an Electricity Sub-sector for the company, paving the way for more electricity companies to list.
Geregu Power PLC was incorporated in November 2006 as one of the unbundled companies from the now-defunct Power Holding Company of Nigeria (PHCN).
The Company began operations in February 2007, to generate electric power supply to the National Grid managed by the Transmission Company of Nigeria (TCN).
Amperion Power owns 99.9% of the company. Calvados holding (owned by Femi Otedola) owns 95% of Amperion Power while Shangai Power owns 5%.
Femi Otedola is the Chairman of Geregu Power Plant while Mr. Akin Akinfemiwa is the Chief Executive Officer.
Geregu Power will be the second company Nigerian billionaire, Femi Otedola will be listed on the Exchange.