Transcorp Power Limited has consolidated its position in Nigeria’s power sector as it acquired a 60 percent stake in Abuja Electricity Distribution Company (AEDC).
The group has made significant inroad in the sector towards improving Nigeria’s epileptic power supply which has been the bane of the nation’s poor economic development.
Following the acquisition, Christopher Ezeafulukwe, the managing director/CEO of Transcorp Power Limited, has been appointed as the new Managing Director/CEO of AEDC.
Transcorp Group, whose biggest shareholder is businessman Tony Elumelu, is one of Nigeria’s leading conglomerates with investments in the hospitality, power, and oil and gas sectors.
In a strategic move that further consolidates Transcorp’s position within the Nigerian power sector, Mr Ezeafulukwe’s appointment follows the acquisition of the stake in AEDC by a Transcorp-led consortium.
Prior to his appointment as the MD/CEO of AEDC, Mr Ezeafulukwe was the MD/CEO of Transcorp Power Ltd, Ughelli, a 972-MW thermal plant.
Under his leadership, the company said Transcorp Power Ltd consistently led the Nigerian power sector, being the first successor power company from the 2013 power privatisation program, to be discharged from post-privatisation monitoring by the National Council on Privatisation, having surpassed the
expectations of the Council.
The Ughelli Power plant, which Transcorp Group acquired during the privatisation of the power sector in 2013, demonstrates the group’s transformative prowess, the company said.
“The plant’s available capacity, which stood at 160MW on acquisition, increased by 227 per cent to 680.83MW in 4 years, surpassing the Bureau of Public Enterprises (BPE) five-year target of 670MW.
“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,” it added.
Transcorp Group said its commitment to improving lives and transforming societies remains resolute. The Group’s subsidiaries, include Transafam Power Limited and Transcorp Hotels Plc, owners of Transcorp Hilton Abuja, have demonstrated continued value creation and a dedication to creating both economic and social wealth.
With a combined market capitalization exceeding N540 billion, the Group continues to demonstrate the Africapitalism philosophy of its Group Chair – Tony Elumelu.
AEDC was among the 11 electricity distribution companies that emerged from the 2013 privatisation of the sector following the unbundling of the state-owned Power Holding Company of Nigeria (PHCN).
Since coming on stream, the AEDC, like most other distribution companies, has struggled to improve power supply to its consumers and failed to break even.