KEY POINTS
- Femi Otedola sells shares in Geregu Power for ₦9.3 billion.
- Geregu Power remains Nigeria’s top listed energy firm.
- Otedola retains control amid portfolio realignment.
Nigerian billionaire Femi Otedola sold 9,038,000 shares in Geregu Power Plc on Wednesday, marking one of the largest insider transactions on the Nigerian Exchange this quarter.
Amperion Power Distribution Company Ltd, Otedola’s investment arm and the company’s majority shareholder, sold the shares at ₦1,027.40 each, raising ₦9.29 billion ($6.25 million) at an exchange rate of ₦1,485 to the dollar.
While the transaction slightly reduces Otedola’s overall holdings, it does not affect his controlling interest in Geregu Power, where he continues to play a central role in strategy and expansion.
Geregu Power remains key energy market player
Listed on the Nigerian Exchange Limited (NGX) under the ticker GEREGU, the company operates a 435 MW gas-fired plant and remains one of Nigeria’s most closely watched energy stocks.
Otedola acquired the plant in 2013 and led its landmark NGX listing in 2022, making it Nigeria’s first publicly traded power generation company. The sale comes as Geregu’s stock trades around its 52-week low of ₦1,027.40, though analysts note it remains a high-value energy asset with solid fundamentals.
Insider sale catches the eye of investors
When significant shareholders sell shares to insiders, it typically means that they are changing their portfolios or moving money around, which gets a lot of attention from investors.
According to Billionaires Africa, Otedola has been reorganizing his power and energy investments in the last several months to make them more diverse.
Even though it was sold, Geregu Power is still in a good position in Nigeria’s changing electricity market because of robust demand, escalating energy reforms, and more investors becoming interested in the sector.
