Nigerian businessman, Tony Elumelu, has confirmed plans to spin off the power arm of Transnational Company of Nigeria Plc, Transcorp Energy, in 5 years. He additionally debunked rumors that the conglomerate deliberate to listing the facility enterprise on the Nigerian Change.

Talking throughout an interview, Transcorp’s Chairman, Elumelu famous that the potential spin-off of Transcorp Energy is a results of a board decision handed on the conclusion of the corporate’s Annual Common Assembly (AGM). He mentioned, “We’re taking a look at about 5 years from now to listing Transcorp Energy as a result of we consider the transmission strains would have been mounted and the fuel provide to the facility sector would have improved considerably.”

Transcorp Energy’s potential spin-off comes greater than eight years after the conglomerate spun off Transcorp Lodges as a separate entity from the group via an preliminary public providing in 2015.

Elumelu denies plans to listing Transcorp Energy on the Change

Talking in regards to the agency’s future plans, Elumelu mentioned, “No, we’re not presently itemizing; I hear that rumor infrequently, particularly after some competing establishments have been listed on the Change. No, we’re long-term gamers, we need to develop extra and important worth within the energy sector.”

His assertion comes after Nigerian billionaire, Femi Otedola elevated his possession curiosity within the diversified conglomerate past 6.3 per cent after buying a 5.52-per cent stake in Transcorp almost two weeks in the past, equal to 2,245,639,251 odd shares. His acquisition triggered substantial off-market trades, with United Capital Securities, an organization linked to Tony Elumelu, reportedly buying over a billion shares in response.

Reacting to Otedola’s acquisition, Elumelu mentioned, “I’m comfortable to see an indigenous energetic investor group, and I’m comfortable that Femi is investing domestically, and he must be recommended for that.”