A consortium led by Transcorp Power Limited has acquired a 60 percent stake in Abuja Electricity Distribution Company (AEDC).
Following the acquisition, Christopher Ezeafulukwe has been appointed as managing director/chief executive officer (MD/CEO) of AEDC.
Ezeafulukwe, who is currently the MD/CEO of Transcorp Power Limited, is believed will play a pivotal role in rejuvenating AEDC, the supplier of power to the nation’s capital.
“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,” according to a statement from the consortium.
The Tony Elumelu-led Transcorp secured approval as the strategic investor in AEDC in May 2023
“Under his leadership, Transcorp Power Ltd has consistently led the Nigerian power sector, being the first successor power company from the 2013 power privatization program, to be discharged from post-privatisation monitoring by the National Council on Privatization, 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 statement said.
“The plant’s available capacity, which stood at 160MW on acquisition, increased by 227 percent to 680.83MW in four years, surpassing the Bureau of Public Enterprise’s (BPE) five-year target of 670MW.”
Chief Executive Officer (CEO) of Transcorp Energy, Peter Ikenga, is expected to succeed Ezeafulukwe as MD of Transcorp Power.
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 had secured a loan from UBA to acquire AEDC in 2013, making it hold a 60 percent stake in the DisCo.
However, in April 2023, the bank said it would sell AEDC to recover the $122 million debt.
In May 2023, the National Council on Privatisation approved the Transcorp-led consortium as the preferred bidder for AEDC.