Chairman, Transnational Corporation of Nigeria Plc, Tony Elumelu, has disclosed plans to invest $2.5 billion in power projects across the country. According to Elumelu, it will make the investments through a subsidiary, Transcorp Power Ltd.
Elumelu disclosed this during an interview in Abuja noted that Transcorp Power has so far injected about $1 billion in projects with a combined capacity of 700 megawatts.
Transcorp Power is one of the five firms that submitted financial and technical bids to purchase 51 percent stake in the Afam Power Plc and Yola Electricity Distribution Company.
“We’ve expressed interest in the acquisition of Afam power plant, which we’re going to spend a lot of money and it will give us 1,400 megawatts and we can do more,” he said.
Transnational Corporation recorded 30.5percent increase in revenue from its Power segment-subsidiary engaged in the generation of electric power, from N66.44billion in full year ended 31 December 2017 as compared to 86.73 billion same period in 2018 the highest from its revenue segments. The company’s revenue also ballooned 29.75percent to N104.16 billion in the full year 2018 compared to N80.28billion recorded in the same period in 2017.
Nigeria’s power sector is riddled by debt and Transcorp Power is owed about $250 million.
“If they are owing you that kind of money, it affects your ability to do more and more importantly, slows your enthusiasm,” he added.
Transcorp Group is principally engaged in the power, agro-allied, oil & gas and hospitality industry. Its shares traded at N1.26 at the close of trading on Monday on the floor of the Nigerian Stock Exchange with its one year return down by 0.79percent.
OLUFIKAYO OWOEYE
