Transcorp acquires 60% stake in Abuja DisCo

In a move to further consolidate its position in the Nigerian power sector, of Transnational Corporation (Transcorp) Plc has acquired 60 percent equity interest in Abuja Electricity Distribution Company, AEDC, one of Nigeria’s 11 electricity distribution companies, DisCos.

Meanwhile, the Board of AEDC has appointed the Managing Director/CEO of Transcorp Power Limited, Christopher Ezeafulukwe, as the new Managing Director/CEO of AEDC.

Ezeafulukwe is expected to deepen investment targeted at improving the supply of electricity to households, businesses and government institutions in the Federal Capital Territory, Niger, Kogi and Nasarawa States.

Prior to his appointment as the MD/CEO of AEDC, Ezeafulukwe was the MD/CEO of Transcorp Power Ltd, Ughelli, a 972-MW thermal plant.

Under his leadership, Transcorp Power Limited has consistently led the Nigerian power sector, being the first successor power company from the 2013 power privatization program, to be discharged from post-privatization monitoring by the National Council on Privatization, having surpassed the expectations of the Council.

Recall that in December 2021, United Bank of Africa (UBA) took over AEDC over the inability of its major stakeholder, Kann Consortium, to service the $122 million debt owed to the bank.

Kann Consortium secured a loan from UBA to acquire AEDC in 2013, thus controlling a 60 percent stake in AEDC.

In April 2023, the bank’s plan to sell AEDC to recover the $122 million debt was approved by the National Council on Privatisation, a development which culminated in the emergence of the Transcorp-led Consortium, as the new strategic investor in AEDC.

In a notice published on the Nigerian Exchange(NGX), Transcorp noted that, “With Ezeafulukwe’s proven capabilities and extensive experience, he will play a pivotal role in rejuvenating AEDC, the supplier of power to the nation’s capital.”