HH Capital Limited, a special purpose vehicle (SPV) owned by Tony Elumelu, chairman of United Bank for Africa (UBA) has acquired 9,697,189,984 units of shares of Transnational Corporation of Nigeria Plc (Transcorp).
This brings Elumelu’s total shareholding in the company to 9,991,173, 177 units, representing 25.58 percent of the company’s total shares.
“In compliance with Chapter 17, Rule 17.13 of the NGX Issuers Rules, Transnational Corporation Plc (the Company) hereby informs the Nigerian Exchange Limited (NGX) and the investing public of the below new acquisition of shares in the Company. With this new acquisition, HH Capital Limited now holds a total of 9,991,173,177 units, representing 25.58 percent of the company’s total shares,” Funmi Olofintuyi, acting company secretary of Transcorp Plc said in a statement.
HH Capital is a company (Special Purpose Vehicle) owned by Tony Elumelu and appears to be an acronym for Heirs Holdings.
“The Company welcomes the continued expression of confidence in its leadership and management by the investing public, as we continue our unwavering commitment to superior stakeholders’ returns, anchored in our ideology of Africapitalism,” Olofintuyi said.
Elumelu’s recent acquisitions followed the purchase of 5.52 percent of Transcorp Plc shares by Femi Otedola, the chairman of Geregu Power Plc.
In terms of the amount of shareholding in Transcorp Plc, Tony Elumelu now controls 25.58 percent, followed by UBA Nominees Limited with 9.26 percent shareholdings, and Femi Otedola, 5.52 percent stake in the company.
Otedola’s Geregu can be seen as one of the biggest competitors of Transcorp in the power and gas sector. Elumelu, however, still maintained his stance in welcoming the CEO and his friend.
“Most times we go on international road shows to get investors. I’m happy to see an indigenous active investor community. I’m happy Femi is investing locally and I welcome his investment. The more people show interest in a company, the better for us shareholders,” Elumelu said at the UBA AGM meeting.
“When friends invest in your business, it’s a validation that they believe in your story and vision.”
Elumelu further expressed his faith in the power and gas sector, labelling it a “gold mine” and expressed hopes in attracting more investors into Nigeria using it as a platform for national growth.
“You can develop Nigeria and Africa in the 21st Century, with strong investments in power and access to electricity. It is the beginning of prosperity, of eradication of poverty, of illiteracy or fixing insecurity,” Elumelu said.
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