Nigerian billionaire Femi Otedola has offered off his complete shares in Transcorp Plc to Tony Elumelu, the corporate’s chairman and largest shareholder. This growth comes two weeks after information first emerged about his acquisition of a giant minority stake.

The strategic sale places an finish to the attention-grabbing company drama that ravaged Nigeria’s capital markets over the previous a number of days. Based on experiences, the transaction was a negotiated deal between Otedola and Elumelu, which was brokered by distinguished, mutual mates of the 2 tycoons.

An undisclosed supply instructed newsmen that Elumelu paid Otedola a 400-per cent premium on Transcorp’s closing value on Thursday to amass his bloc of shares. This suggests that Otedola, who owned 2.6 billion shares or 6.3 per cent of the corporate, was paid about NGN 12.5 ($0.027) per share, and walked away with a N32.5 billion ($70 million) payout.

Otedola and Transcorp: All it’s essential know

Chairman of Geregu Energy, Otedola,  had earlier acquired a 5.52-per cent stake in Transcorp. The acquisition which was consummated between an entity owned by Otedola and AMCON, made him the second-largest shareholder of the corporate. Newsmen gathered that Otedola additional acquired further shares, growing his curiosity within the conglomerate to six.3 per cent.

His acquisition which got here at a time when Transcorp’s inventory was at N1 ($0.003)  per share was described by many as Otedola’s try to take management of one among Nigeria’s indigenous and most acknowledged conglomerates.

Elumelu’s battle for Transcorp

In response to Otedola’s earlier acquisition, Elumelu acquired an extra 9.7 billion shares in separate offers to ramp up his mixed stake within the group to 10.5 billion shares or 25.9 per cent. This buy cemented his place as Transcorp’s fundamental shareholder. Along with his buy, sources revealed that Elumelu known as mutual mates to assist dealer a cope with Otedola, who was reportedly not taking his calls.