• Monday, April 22, 2024
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Transcorp, Rich Point, HH Capital rake in billions from Transcorp Power shares sales

Stock market closes in red as investors await MPC outcome

…stock price hits N319.4/share on Wednesday

The majority shareholders of Transcorp Power Plc are seen raking in billions of naira by selling their equity stake in newly listed Transcorp Power Plc.

Before the listing, the company’s shareholding structure was as follows: Transcorp Plc (51.6percent), Rich Point Limited (33.3percent), Woodrock Energy Resources Limited (7.4percent), and Others (7.7percent).

Transcorp Power Plc listed by introduction its 7.5 billion shares at N240 per share, which added over N1.8 trillion to the Nigerian equities market capitalisation.

In just three days of trading, Transcorp Power’s equities valuation has increased to N2.395 trillion from N1.8 trillion when it listed, representing an increase by about N595 billion. The company was listed under the utilities sector (sub-sector: Electric Power Generation).

In early trading on Wednesday, investors continued interest in Transcorp Power pushed its share price to N319.4, from preceding day’s N290.4, reaching maximum 10percent daily rise. The stock continues to drive the market’s positive close since its listing.

At the Nigerian Exchange Limited (NGX), notifications of share dealing by an insider show that on March 5, Rich Point Limited, one of the majority shareholders sold 73,052,664 shares of Transcorp Power at N290.40 per share.
On March 4 and March 5, Transnational Corporation, a majority shareholder and parent company of the newly listed Transcorp Power sold 40 million units at N264 per share and 2,972,933 units at N290.40 per share respectively.

Also on March 5, HH Capital Limited sold 560,643 units of Transcorp Power at N290.40 per share. HH Capital Limited, is a Company founded by Tony Elumelu, the Board Chairman of UBA Plc.