In a recent transaction on the Nigerian Exchange, Femi Otedola sold shares in his power generation company, Geregu Power Plc, worth N5.06 billion.
The share sale, which took place on the Nigerian Exchange, involved 14.81 million units of shares and was completed in three distinct transactions between October 20 and 30, through Otedola’s firm, Amperion Power Distribution Limited.
Otedola’s share in Geregu Power was decreased from 95.56 percent to a somewhat lower but still significant 95.38 percent as a result of this move. Despite the decrease in his assets, he continues to be a strong force in the corporation, maintaining power and influence.
The move to sell shares comes shortly after Geregu Power posted its unaudited interim financial statement for the first nine months of 2023.
The company recorded significant growth, with revenue increasing by 43 percent.
The figures increased from N39 billion in 2022 to a healthy N55.75 billion in 2023.
Under Otedola’s leadership, the corporation excelled in all areas. Energy sales revenue grew from N24.78 billion to N34.8 billion.
During the review period, capacity charges increased from N14.23 billion to N20.95 billion.
Despite suffering financial asset impairments totaling N3.17 billion and administrative expenses totaling N5.87 billion, Geregu Power increased its operational profit by 24%. Operating profit increased from N16.03 billion in the third quarter of 2022 to N19.9 billion in the third quarter of 2023.
Otedola’s choice to sell a portion of his Geregu Power stock demonstrates his belief in the company’s financial strength and strategic direction. It also demonstrates his ability to leverage his investments and make sound financial decisions in order to optimize returns.
