News, Politics

TONY ELUMELU, VICTOR OSIBODU, FEMI OTEDOLA, IBB others take over $2.5 billion PHCN assets this week


Tony Elumelu

Tony Elumelu

BARRING any last minute change, new owners will take over Power Holding Company of Nigeria (PHCN) this week.  Ten distribution companies and five power generating companies were sold to new investing companies owned by billionaires and retired military officers for $2.525 billion, of which $1.256 billion came from the sale of distribution companies, while the sale of generating companies raked in $1.269 billion.

The handing over of the PHCN properties was fixed for Friday,November 1, 2013.  There were initial apprehension the handing over may not hold following electricity workers protest over severance packages. The Director General of Bureau of Public Enterprises, Mr. Benjamin Dikki allayed the fears on Thursday, October 24, 2013, that the hand over will go on as scheduled.

Chief Victor Osibodu

Chief Victor Osibodu

West Power and Gas, owned by three partners, Tunji Olowolafe, Charles Momoh and Ernest Orii, will take over the Eko Distribution Company in Lagos.  West Power and Gas paid $135 million for the acquisition of the properties of Eko Distribution Company.

Mr. Tony Elumelu’s company, Transcorp/Wordrock Consortium will play big in the power business as it take over Ughelli Power Plant in Delta State.  $225 million was paid for the acquisition of Ughelli Power Assets.

Chief Victor Osibodu, chairman of Vigeo Holdings, will take over the ownership of Benin Distribution Company, as it has already paid $96.75 million for the acquisition.  Vigeo Holdings is not new in the power business.  The company has a subsidiary, Global Utilities Management that deals in electric metering.

Billionaire businessman, Mr. Femi Otedola’s Forte Oil holds 57 per cent stake in Amperion Power Company Limited which will take over Geregu Power Plant, Kogi State.  Other equity of Amperion are shared by other partners, BSG Resources (38) and Shanghai Municipal Electric

Femi Otedola

Femi Otedola

Power Company (5).  $135 million was paid to acquire Geregu Power Generating Plant.

Interstate Electric Limited, promoted by Sir Emeka Offor, will take over the Enugu Distribution Company in the coming days.  A sum of $107.4 million changed hands between the company and Bureau of Public Enterprises for the acquisition of the power company.

North South Power Company Limited, promoted by former military president, General Ibrahim Babangida (retd), will take over the ownership of The Shiroro Hydro Power Station. The gap tooth General shelled out $101.442 million for the acquisition of the power generating plant.

Former head of state, General Abdulsalami Abubakar (retd) is the boss of Integrated Energy Distribution and Marketing Company, which will take over both Yola and Ibadan power distribution companies.  $171 million was paid for the take-over of the two power companies.



All the South South governors are also playing big in the power business. They are the promoters of 4 Power Consortium, the company which will take over the Port Harcourt Distribution Company, after they had paid $93 million for the acquisition.

The Kainji Power Plc, Lokoja, Kogi State, will in a matter of days become the property of Mainstream Energy Limited, promoted by Col. Sam Bello (retd).  The company reportedly paid $216.472 million for the acquisition.

The Kano Distribution Company will be handed over to Sahelian Energy Limited.  The company owned by Alhaji Yusuf, one-time ministerial nominee, paid $102 million for the power company.

Aura Energy will take over Jos Distribution Company for $82 million.

Kanu Consortium will also take over Abuja Distribution Company after it paid $123 million to BPE.

NEDC/KEPCO Ikeja Distribution Company ($131 million).

CMEC EUAFRIC Energy JV will take over Sapele Hydro Power Station for $30.14 million.



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