In just 17 days, Nigerian businessman Wale Tinubu’s stake in Oando Plc has increased in value by more than $40 million on the Nigerian Exchange (NGX), as investors continue to pile into Oando shares.
According to reports, the energy tycoon’s stake in Oando Plc has increased by N31.38 billion ($40.01 million) in the last 17 days as local bourse investors react to the company’s latest move to acquire 100 percent of the Italian-owned shares of Nigerian Agip Oil Company Limited (NAOC Ltd).
Oando is a Nigerian global energy firm that operates in the oil and gas upstream, midstream, and downstream sectors. It is listed on both the Nigerian and Johannesburg stock exchanges.
Its move to buy Italian-owned NAOC, which is destined to reshape Nigeria’s oil and gas landscape, is expected to increase Oando’s interest in OMLs 60, 61, 62, and 63 from 20% to an astonishing 40%. The agreement, however, is still subject to ministerial approval and regulatory approvals.
Tinubu, who owns 66.67 percent of Ocean and Oil Development Partners (OODP) and has an indirect ownership in Oando, is a towering figure in Nigeria’s energy industry. Tinubu and Omamofe Boyo’s investment entity, OODP, owns 7,131,736,637 ordinary shares in Oando.
Oando shares on the Nigerian Exchange have increased by 120 percent since the beginning of September, rising from N5.50 ($0.007) on Sept. 1 to N12.10 ($0.0153) at the time of writing, resulting in gains totaling millions of dollars for its shareholders, including Tinubu.
The market value of Tinubu’s stake in the Nigerian integrated energy solutions provider has increased by N31.38 billion ($40.01 million) in 17 days, climbing from N26.15 billion ($33.34 million) on Sept. 1 to N57.53 billion ($73.35 million) at the time of writing.
Tinubu’s position as one of the richest investors on the local exchange and one of the country’s richest individuals has been cemented by this significant growth. Tinubu is also considering taking Oando private through OODP.