Transcorp Consortium acquires Afam GenCo to maximize operational capacity

NIGERIA – Transcorp Consortium, a leading industrial holding company, has announced the 100 per cent acquisition of the 966MW installed capacity Afam Power Plc and Afam Three Fast Power Limited (jointly referred to as Afam GenCo), at an acquisition cost of N105.3 billion (US$272m).

“Today marks a milestone for the country with a return to private sector investment in the power sector,” His Excellency, the Vice President of Nigeria, Yemi Osinbajo said.

“This investment by Transcorp in acquiring Afam Power Plc and Afam Three Fast Power is the first of many new investments planned in the sector across the value chain. We expect that under Transcorp’s ownership the operational capacity of the facility will be raised to its full capacity.”

The Afam Plant and Yola Electricity Distribution Company are among nine power assets listed for sale this year alongside 10 other government-owned companies, all projected to yield over N260 billion (US$0.68bn).

“The acquisition marks a significant milestone for Transcorp in the pursuit of its corporate purpose of improving lives and transforming Nigeria.”

Tony Elumelu – The Chairman, Transcorp

The Afam IV-V Power Station, located in Oyigbo Local Government Area of Rivers State, is owned by the defunct Power Holding Company of Nigeria (PHCN).

“Transcorp Consortium is one of the success stories of Nigeria’s Privatisation Programme. Through its investments in Transcorp Hotels Plc and Transcorp Ughelli Power Limited, the consortium has consistently achieved its performance targets as contained in the respective post-acquisition plans,” the Director-General of the BPE, Alex Okoh, said

The National Council on Privatisation (NCP) had October 2019 approved Transcorp Power Consortium as the preferred bidder for the Afam Electricity Generation Company (Afam Power Plc and Afam Three Fast Power Limited).

“Bringing affordable, dependable power to the Nigerian people is core to Transcorp’s mission. Our significant investments in the power sector are demonstrations of our contribution to the economic transformation that I know Nigeria is capable of,” The Chairman of Transcorp, Tony Elumelu, said.

“The acquisition marks a significant milestone for Transcorp in the pursuit of its corporate purpose of improving lives and transforming Nigeria. I am honoured to be working with the Federal Government and urge it to continue its policy of creating an enabling environment.”

The announcement was made at the State House, Abuja during the signing ceremony between the federal government, represented by His Excellency, the Vice President of Nigeria, Yemi Osinbajo, and Transcorp Consortium represented by the Chairman of Transnational Corporation of Nigeria Plc (Transcorp), Tony Elumelu.

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