Elumelu acquires 25.58% to nip Otedola’s Transcorp takeover tactics

Mr Elumelu acquired 9.69 billion shares through his investment company, HH Capital Limited, which previously held 293.98 million shares in Transcorp.

Businessman Tony Elumelu raised his holdings in Transnational Corporation (Transcorp) by around N23 billion in order to thwart a takeover attempt by fellow investor Femi Otedola.

Through his investment firm, HH Capital Limited, which had previously held 293.98 million Transcorp shares, Mr. Elumelu acquired 9.69 billion shares.

Mr. Otedola overtook Mr. Elumelu, who at the time held a 2.06% stake and was also chairman of Transcorp, with his share acquisition.

This comes a few days Peoples Gazette reported that Mr Otedola became Transcorp Plc’s largest individual shareholder after purchasing 5.5 per cent of the company’s shares at just over N2.2 billion.

About 10 billion units of the company shares was traded following Mr Otedola announced the acquisition.

HH Capital Limited increased its holding in Transcorp to 9,991,173,177 units as of April 25 by purchasing 9,697,189,984 units of shares, representing 25.58 percent of the total shares of the firm.

Whether UBA Nominees, the former Transcorp Plc main shareholder, will retain all of its shares or sell some to HH Capital Ltd. is not yet apparent. Mr. Elumelu still has a commanding position in UBA, the bank he formerly served as MD/CEO.